Future contracts are used by companies to hedge against losses in foreign currencies.

Name: Future contracts are used by companies to hedge against losses in foreign currencies.
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Future contracts are financial instruments used to lock in a future price for an asset or commodity, such as a foreign currency, to protect against potential losses due to price fluctuations. This is a common practice for companies engaged in international business and trade to manage their foreign exchange risk.

Future Contracts Are Used by Companies to Hedge Against Losses