Hedging refers to buying or selling futures contracts that are the same as or related to spot commodities or assets, with the same quantity or equivalent, opposite direction and the same or similar month in the futures market, so as to establish a break-even mechanism between the futures market and the spot market and avoid the risk of price fluctuation. The final result may be a loss in the futures market and a profit in the spot market; It may also be a loss in the spot market and a profit in the futures market.