An example of a ‘ carry’ which takes place on the LME, this is the sale of near-dated futures and purchases of longer dated futures. On other markets such an intramarket spread trade it is known as ‘selling the spread’.
disposing of money or property with the expectation that the same thing (or an equivalent) will be returned
Derived from lending metal to the market. Selling metal on a nearby date and simultaneously buying it back on a forward date, thereby extending a long position.