Our Caped Krusader gets half a prize.

The book I was reading, "Against the Gods" which is a rambling history of risk management, described it as the market phenomenon which underpriced volatility, thereby allowing speculators to make a profit by providing insurance against volatility for the suppliers. However, google provides tighter definitions.

Backwardation - Market in which [futures] prices of near months are higher than the prices of deferred months, i.e. prices are inverted. Such a price structure normally reflects a shortage of supplies.

See also
contango, normal market

Rod