The Countermeasures Study For Taking Advantage Of Futures By Copper Consuming Enterprises To Stabilize Cost

This paper gives a brief introduction of characteristics of futures and development status of futures market in China, analyzes the role of futures market to economy and the necessity and feasibility of taking advantage of futures market by copper consuming enterprises to stabilize cost. And this paper proposes the suggestion that in market economy hedging of futures market can help copper consuming enterprises to make up the loses due to the price floating of raw materials in a long manufacture period and to stabilize producing cost and reduce management risk. On the basis of the professional theory of engineering economy and administration some situations and problems that may take place and be pay attention to in hedging are analyzed and studied in this paper with a true example of a copper consuming enterprises. And also some suggestions are made.