There are futures to hedge inputs, especially for farming:
- Diesel for tractors
- Fertilizers
- The weather itself
- interest rates
- real estate
AFAIK the only inputs without derivatives are labor cost and pesticides.
- Diesel for tractors
- Fertilizers
- The weather itself
- interest rates
- real estate
AFAIK the only inputs without derivatives are labor cost and pesticides.
Financier: "Well Jim, I know you were focused on digging the irrigation for your farm but with 'Free Money' in the economy, valuations for real estate and other commodities were going to rise. The Delta's on your futures were all out of wack!" Jim: "What's a delta?"