Question: If you believe the futures price will decrease and the basis will narrow, the table recommends that you sell your commodity with one or more
If you believe the futures price will decrease and the basis will narrow, the table recommends that you sell your commodity with one or more of the following strategies.
Futures contract
HTA contract
Put contract
Explain, for each strategy above, why they would be recommended if the hedger believes the futures price will decrease and the basis will narrow.
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