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Short Hedges: Example Today, May 15 Exxon signed a contract to sell 1 million barrels of oil. The selling price is the spot price on august 15 Spot Price: $19/barrel August oil futures price: $18.75/barrel Charles cao5 Charles Cao Short Hedges: Example ◼ Today, May 15 ◼ Exxon signed a contract to sell 1 million barrels of oil. The selling price is the spot price on August 15 ◼ Spot Price: $19/barrel ◼ August oil futures price: $18.75/barrel
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