✨TERM OF THE DAY✨ == LONG HEDGE (SOME VIEW SHARED AS READ WHILE)

A *LONG HEDGE *
REFERS TO A FUTURE POSITION
THAT IS ENTERED INTO FOR
THE PURPOSE OF PRICE STABILITY
ON A PURCHASE.

LONG HEDGE ARE OFTEN USED BY COMPANIES
THAT KNOW THEY NEED TO PURCHASE A COMMODITY
IN THE FUTURE AND WANT TO LOCK
IN THE PURCHASE PRICE.

THE LONG FUTURES POSITION MEANS
THE BUYER OF THE COMMODITY IS
MAKING A BET THAT THE
PRICE OF THE COMMODITY WILL RISE
IN THE FUTURE.

disclaimer - shared as read.