Energy Price Volatility, Margin Erosion and Hedging – Implementation Pitfalls for Commodity Hedgers
In the first quarter of 2026, Brent crude nearly doubled, from $61 to $118 a barrel, its largest inflation-adjusted quarterly increase in data going back to 1988. For an unhedged company, a move like that goes straight to the margin. Take a manufacturer with $40 million in revenue, cost of goods sold at 60% of…



