In this new period of reform and op

In this new period of reform and opening up, the staff of grain enterprises should strengthen their study, fully understand the significance and function of futures hedging in the futures market, and take advantage of the positive factors of futures market to effectively avoid risks in the production and management activities of enterprises. Futures hedging plays a hedging role in many aspects. First of all, hedging helps enterprises avoid the risk of price fluctuation and stabilizes the supply of resources and product sales, which is its direct role. Enterprises participating in hedging can obtain the price difference by hedging the existing futures contract to cover the possible loss in the spot market. If this spread is not ideal, the contract can also be left to the delivery date of the physical delivery, and then from the spot trade to obtain a more favorable spread; And if both the buyer and seller of the same commodity have done futures hedging, the two can be implemented on futures respectively or delivery, and only direct futures into cash trading. All these, enterprises can achieve the lock purchase price or sales price, and then stabilize the purpose of income.