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Commodity

Commodity spreads (or straddles)

This is an important concept in finance, as it can provide insight into the supply and demand dynamics of a particular commodity. Spreads can be either positive or negative, and can change based on various market factors.

Understanding commodity spreads is crucial in the world of finance. These spreads indicate the difference in prices between two futures contracts, and offer valuable information about the market forces of a specific commodity. Positive or negative spreads can be influenced by a variety of factors, making them a key component in analyzing and predicting market trends. As finance professionals, it is important to grasp the significance of commodity spreads and utilize them in our decision-making processes.

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