A long or buy hedge would usually be used if the bank would be harmed in the cash market by rising interest rates.

Name: A long or buy hedge would usually be used if the bank would be harmed in the cash market by rising interest rates.
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A long or buy hedge is typically used to protect against rising prices in the commodity markets, not against rising interest rates. To hedge against rising interest rates, an entity would more likely use interest rate swaps or futures.

A Long or Buy Hedge Would Usually Be Used If