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But there is concern for the many smaller Bordeaux producers, who need the liquidity that the futures sales bring.
A producer who buys a commodity at spot (current) prices but does not normally resell until three months later can insure himself against a decline in prices by selling futures: if prices fall he loses on his inventories but can purchase at a lower price; if prices rise he gains on his inventories but loses on his futures sales.
As the market dropped, investors sold futures, causing the price to plummet; the decline in the futures price triggered a further sell-off in the underlying equity market, triggering more futures sales and so on.Something similar could happen with this controlled-volatility approach if it were adopted by a large chunk of the pension industry.
The Master Settlement Agreement forced the big tobacco companies to pay fees to the state on futures sales of cigarettes in return for an end to all state claims against the companies for fraud, anti-trust violations and smoking-related Medicaid expenses.
If hydrogen stocks are rising on hopes for futures sales of fuel cell vehicles, that rise will become a decent if those sales fail to emerge.
He wrote, "What message is she sending about futures sales of Apple products if she is dropping every share that she can get her hands on as soon as they become eligible for sale?" The message is actually a lot less alarming than you might think.
Similar(53)
G.M. does not release future sales targets.
That suggests they are optimistic about future sales.
Furthermore, future sales were dependent on international trade.
He did not believe the problem would harm future sales.
But the weak economy could threaten future sales.
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