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contango

American  
[kuhn-tang-goh] / kənˈtæŋ goʊ /

noun

  • contangos,
    plural
  • contangoes
    plural
  1. (on the London stock exchange) a fee paid by a buyer of securities to the seller for the privilege of deferring payment.


contango British  
/ kənˈtæŋɡəʊ /

noun

  1. (formerly, on the London Stock Exchange) postponement of payment for and delivery of stock from one account day to the next

  2. Also called: carry-over.   continuation.  the fee paid for such a postponement Compare backwardation

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

verb

  1. (tr) to arrange such a postponement of payment (for)

    my brokers will contango these shares

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

Other Word Forms

Noun Inflected Forms

Etymology

Origin of contango

1850–55; said to be alteration of continue or contingent

Compare meaning

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Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

See Examples For:

“Brent and Dubai crude time spreads remained in contango, reflecting ample near-term supply, and Gulf producers are expected to lower official selling prices further to maintain competitiveness,” said Soojin Kim from MUFG.

From The Wall Street Journal Jul. 6, 2026

Back in 2020, when the market’s sharp contango quickly corrected itself, it seemed like investors rightly concluded that the pandemic’s effects would ease within months.

From The Wall Street Journal Mar. 10, 2026

Usually, VIX futures are higher than the VIX to reflect the extra risk of holding a longer-duration contract, a condition known as contango.

From MarketWatch Jan. 22, 2026

In a contango market, traders have an incentive to buy oil and store it instead of selling it for refining or other economically productive uses.

From Barron's Oct. 22, 2025

If he chose, he could explain to you the meaning of contango, and even of that mysterious term to the uninitiated, 'backwardation.'

From Hodge and His Masters by Richard Jefferies

Continuā′tion, constant succession: extension; Continuā′tion-day, the same as Contango-day, that on which contangoes are fixed.—adj.

From Chambers's Twentieth Century Dictionary (part 1 of 4: A-D) by Various

Basking in the smiles of his Dolly, he gradually forgot stocks, shares, backwardations, and contangoes.

From Fifty-Two Stories For Girls by Alfred H. (Alfred Henry) Miles

Let's go and chatter to Bob about contangos.

From First Plays by A. A. (Alan Alexander) Milne

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