Podcast #128: We chat with Kent C Dodds about why he loves React and discuss what life was like in the dark days before Git. Listen now.

New answers tagged

2

The technical answer to you question involves the Synthetic Triangle: There are six basic synthetic positions: Synthetic Long Stock = Long Call + Short Put Synthetic Short Stock = Short Call + Long Put Synthetic Long Call = Long Stock + Long Put Synthetic Short Call = Short Stock + Short Put Synthetic Short Put = Short Call + Long Stock ...


0

if trafigura agrees to sell say a barrel of WTI crude oil @ $56 3 months hence. How would they hedge it? There is no need to hedge in this case. I assume they they are guaranteed to own the oil in this scenario, and they already have a future price locked in, so there's no risk to hedge. Now, on the other hand, if they were going to sell oil in three ...


1

With contango, a long-term futures contract will decline to the spot price as the time winds down. So an advantageous position would be to hold the sell-side of a long-term futures contract while also holding the physical commodity. And here storage of the physical commodity is the effective business practice. With backwardation, a long-term futures ...


Top 50 recent answers are included