Question: The following table gives data on monthly changes in the spot price and the futures price for a certain commodity. Use the data to calculate

The following table gives data on monthly changes in the spot price and the futures price for a certain commodity. Use the data to calculate a minimum variance hedge ratio.

Spot Price Change Futures Price Change +0.56 +0.61 +0.63 -0.22 -0.12 -0.35 -0.44 +0.79 +0.60 +0.50 Spot Price Change Futures Price Change0.06 +0.15 +0.01 +0.70 +0.80 -0.51 -0.56 -0.41 -0.46 +0.04

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