Assume you are a wheat producer in Western Australia with a crop to be harvested in November. Today is May 3, 2025 and the January 2026 Eastern Australia Wheat (WM) futures contract is trading at 6365/ton on the ASX
ECON3300 Agricultural Economics & Marketing Assignment 2 Question | UWA ECON3300 QUESTION 1. Understanding futures and options contracts What is the main difference between futures and options contracts in terms of downside risk? How does one of these contracts help mitigate that risk? Suppose a wheat producer takes a short position in the futures market as […]