long the basis

Definition of "long the basis"
  1. The practice of buying a physical commodity while simultaneously selling futures contracts to hedge investments
How to use "long the basis" in a sentence
  1. The farmer chose to long the basis to secure the price of his crops in the uncertain market.
  2. In the gold market, investors might opt to long the basis for risk management.
  3. In uncertain economic times, many commodity producers long the basis to protect their investments.

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