currency hedgenoun [ C ]
ukusFINANCE, STOCK MARKETan agreement to buy a currency at a particular rate in the future. Companies that export goods use currency hedges to be certain about the amount they will receive for particular goods when they deliver them:
The currency hedge had been intended to protect the company against a sharp rise in the value of the pound against the euro.
currency hedging
noun [ U ]
The company is happy with its currency hedging strategy, which has helped offset the impact of the weaker US dollar.