Sentences with word «hedger»

If it can continue to rally in the face of heavy pressure from hedgers, it will be an excellent sign that the bear market is likely over.
Futures contracts that reflect the underlying local physical markets are important to attract commercial hedgers who are in need of protection against price moves.
Margin requirements are waived or reduced in some cases for hedgers who have physical ownership of the covered commodity or spread traders who have offsetting contracts balancing the position.
Make finance more transparent by eliminating complex structures, and limiting all derivative transactions such that only hedgers may initiate transactions.
In the corn futures market, the farmer and the manufacturer are natural hedgers on opposite sides of the market.
Here is a short term chart of the net positions of hedgers and large speculators:
ETFs could make it easier to handle risks associated with such investments because they can be tailored to include assets that could act as hedgers.
Different trading examples for hedgers and speculators are provided along with an overview of the futures margining process, answers to some of the most frequently asked questions about futures, and a glossary of most commonly used futures terms.
Hedgers try to immunize themselves against a future change in the rate.
Mortgage hedgers forced long rates lower given the negative convexity (short optionality) of the market.
Summer 2003, when we got a self - sustaining selloff in the market when we realized that fed funds would not be 1 % forever, and mortgage hedgers forced an overshoot.
There are no natural hedgers on the buy side.
The net speculative and net hedger positions in silver futures have undergone huge swings lately — while prices moved only very little.
Hedgers use the futures markets to protect their businesses from adverse price changes.
Outside of commodity and option hedgers the only reason people buy is for a later profit.
Airbus, one of the largest euro / dollar hedgers globally, hasn't seen currency volatility impacting orders as such, says Airbus» COO, John Leahy.
By CFTC definition, managed money traders are exclusively classified as speculators as opposed to being hedgers engaged in transferring risk to other speculators.
Hedgers transfer their risks to speculators.
CME Group followed Cboe with the launch of Bitcoin futures on 18th December, with both exchanges providing hedgers with a platform to hedge existing exposure to Bitcoin, while both allow exposure to Bitcoin without actually owning Bitcoin, opening the door for the speculators.
If we want to solve this problem we should require insurable interest, and only let hedgers initiate transactions.
All of these commodities have standardized futures contracts and speculators and traders are constantly seeking profit making opportunities, while hedgers attempt to lock in favourable future trading price levels in the present trying to avoid risk.
Smart money hedgers from the COT report are extremely bullish on rates.
Require insurable interest such that only bona fide hedgers can initiate trades.
Futures are a favourite with speculators and arbitrageurs whereas Options are widely used by hedgers.
Intelligent hedgers hedge options with options; they don't try to apply the theoretical equivalence that lies behind the traditional Black - Scholes formula and do dynamic hedging with the common stock itself.
Only direct hedgers could initiate derivative transactions, and financial guaranty insurers would compete to fill the need.
Both the speculators and hedgers add volume to a market making it a more liquid market to trade.
Hedgers typically include producers and consumers of a commodity or the owner of an asset or assets subject to certain influences such as an interest rate.
Speculators on the other hand, unlike hedgers, can gain and enjoy huge profits if they can read the market well.
Keynes argued that if hedgers are net short, speculators must be net long.
If an investor or hedger conducts a trade at the currency spot rate, the exchange of the currency pair may take place at the point at which the trade took place or shortly after the trade.
[20] Industrial hedgers» preference for long rather than short forward positions results in a situation of normal backwardation.
Hicks [22] «reversed Keynes's theory by pointing out that there are situations where hedgers are net long.
I'm niggling away at the Pielke - Holdren kerfuffle and will open the budget by extracting a comment I worked out for DotEarth when Revkin did his all too predictable waffle in support of his friend and favorite hedgers, in this case Martin Hoerling.
Futures markets involve hedgers and speculators.
Liquidity is important to creating a market in which hedgers can cover their currency exposures.
Hedgers go to the futures market because they don't want the price of the asset to move against them.
Of course, market makers and speculators are required to create additional liquidity, but they, for the most part, rely on the existence of the true hedgers.
We offer access to a wide range of global markets and specialize in providing trade execution, clearing, and back office services to Commodity Traders, Commodity Trading Advisors, and Hedgers around the globe.
The price would rally up for two or three days into long - term resistance and the chart breakout players would come into the market following the price, and I would sell responsively into their demand because the market orders were from small, weaker speculators whom were buying from commercial hedgers.
The draft also offers other measures concerning the identification of hedgers and the delivery of financial statements.
Pulpit In trade parlance, non-professional speculators as distinguished from hedgers and professional speculators or traders.
Exchange For Physicals (EFP) A transaction generally used by two hedgers who want to exchange futures for cash positions.
Hedgers try to immunize themselves against a future change in the rate.
The Internet has made it possible for hedgers and speculators to research futures brokerages that offer accounts to make trades in any commodity markets.
Main new concepts coming — need for a deliverable, speculators can't trade with speculators, only hedgers.
Hedgers, too, have pared back activity as the price has fallen.
A hedger is someone who is buying and selling trades to mitigate risk.
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