hedging methodology is applied to weekly cash and futures price data from March 23, 2005 through March 7, 2007. Findings … include (1) for two- to eight-week hedging horizons, the ethanol futures contract effectively hedges ethanol inventory price … risk. The effectiveness of the hedge increases with the hedging horizon. Thus, ethanol producers and brokers can use the …

Recently developed ethanol futures contracts now allow direct-hedging by ethanol producers. This study examines the … effectiveness of one-through eight-week hedges between 2005 and 2008. Our findings show (a) ethanol inventory hedging effectiveness … is significant for two-week and longer hedges, and increases with the hedging horizon; (b) ethanol futures are …

correlated to the foreign currency. By indirectly hedging its foreign exchange exposure the firm can increase its economic …

This paper examines the optimal production, export allocation and hedging decisions of a risk-averse international firm … each currency. Then, both production and export allocation are separable. Hedging with forward contracts depends on risk … exchange rate risk plus noise, there is a conflict between cross hedging and taking a basis risk. If, alternatively, the …

correlated to the foreign currency. By indirectly hedging its foreign exchange exposure the firm can increase its economic …

The paper derives optimal cross hedging and production rules for an exporting firm which faces multiple exchange rate … risks. We study the impact of currency cross hedging upon the firm's export production for two countries. We demonstrate … that when the forward market for cross hedging is unbiased there is a full hedge. However, the profits remain stochastic …