Full Carry

Writing Calendar Spreads as a Percentage of Full Carry

1 Introduction 2 Corn ZH Example 3 Shiny 1 Introduction Full carry is achieved when the price of a later dated contract can be expressed as the price of the near contract plus the full cost of carrying the underlying commodity between the months. Carrying costs include interest, insurance and storage. Carry costs change over time. For example, storage costs in a warehouse may increase while interest rates to finance the underlying may increase or decrease.