Does Speculation in Futures Markets Improve Commodity Hedging Decisions?

The authors are grateful to the department editor, Lukas Schmid, an anonymous associate editor, and two anonymous referees for their valuable comments. We are also indebted to Guillaume Bagnarosa, Roy Batchelor, Henk Berkman, Robert Bianchi, Ilia Bouchouev, Colin Carter, John Cotter, Stéphane Goutte, Petko Kalev, Dimitris Petmezas, Pilar Poncela, Marcel Prokopczuk, David Rapach, Lola Robles, Marta Szymanowska, and Adam Zaremba as well as seminar participants at Audencia Business School, Kadir Has University, Poznań University of Economics and Business, Rennes Business School, Toulouse Business School, Universidad Autónoma de Madrid, Universidad Complutense de Madrid, University of Auckland, University of Newcastle Australia, and University of Wollongong. Additionally, we thank participants of the 2023 Commodity and Energy Markets Association conference and the 2024 Modern Finance Conference for insightful discussions.