Thursday, July 23
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Topic: hedging

A combine harvester working a wheat field
New Markets
Thursday, 7/23, 04:16 AM

How commodity futures work, and why they set the price of oil

  • When you read that oil is at $95 or wheat is up sharply, you are almost always reading a futures price: an agreement struck today to buy or sell a commodity at a set price on a future date.
  • Futures are how the world discovers the price of raw materials, and how producers and airlines protect themselves from it.

hedging — news and stories on this topic

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