Buying futures to hedge against the sale of a cash commodity. An investor might...

A hedge that is initiated by taking a long position in the futures market equal to the amount of the cash commodity which eventually needed.

The purchase of futures contracts in order to protect against the possibility that commodities or financial instruments which will be needed in the future will increase in cost.

Also called a long hedge. Buying futures contracts to protect against possible increased costs of commodities that will be needed in the future.

same as long hedge

Buying futures contracts to prevent against possible increased cost of commodities that will be needed in the future. See also Hedging.

Buyer futures contracts to protect against a possible price increase of cash commodities that will e purchased in the future. At the time the cash commodities are bought, the open futures position is closed by selling an equal number and type of futures contracts as those that were initially purchased.

See Purchasing Hedge.

Hedging transaction in which futures contracts are bought to protect a short cash market position against possible increases in the prices of commodities, securities, indexes, or currencies.

The purchase of futures contracts in order to protect against the possibility of higher prices for commodities or financial instruments which will be needed in the future.

Hedging transaction in which futures contracts are bought to protect against possible increases in the cost of commodities. See Hedging.