Scenario Results
Your calculated commodity sensitivity will appear here.
Stress Table
| Stress Move % | Scenario Price | Net Impact | Scenario Operating Value |
|---|
Calculator Inputs
Use the form below to model price shocks, hedge protection, basis changes, and operating impact.
Example Data Table
These sample rows use the included default assumptions and show how the scenario output changes across three price cases.
| Commodity | Exposure | Base Price | Scenario Price | Quantity | Hedge Ratio | Pass-Through | Net Impact | Scenario Operating Value |
|---|---|---|---|---|---|---|---|---|
| Brent Crude | Purchase | 80.00 | 72.00 | 12,000 | 35% | 20% | +62,400.00 | 242,400.00 |
| Brent Crude | Purchase | 80.00 | 80.00 | 12,000 | 35% | 20% | 0.00 | 180,000.00 |
| Brent Crude | Purchase | 80.00 | 92.00 | 12,000 | 35% | 20% | -74,880.00 | 105,120.00 |
Formula Used
1) Effective volumeVolume = Quantity × Contract Multiplier
2) Local unit valuesBase Unit Local = (Base Price × FX Rate) + Basis AdjustmentScenario Unit Local = (Scenario Price × FX Rate) + Basis Adjustment
3) Exposure valuesBaseline Exposure = Base Unit Local × VolumeScenario Exposure = Scenario Unit Local × Volume
4) Gross deltaGross Delta = Scenario Exposure − Baseline Exposure
5) Residual delta after hedgeResidual Delta = Gross Delta × (1 − Hedge Ratio)
6) Economic impact by exposure typePurchase Exposure: Economic Impact = −Residual DeltaSale Exposure: Economic Impact = Residual Delta
7) Pass-through recoveryUnfavorable Residual = max(−Economic Impact, 0)Pass-Through Recovery = Unfavorable Residual × Pass-Through Rate
8) Final scenario impactNet Scenario Impact = Economic Impact + Pass-Through Recovery
9) Scenario operating valueScenario Operating Value = Baseline Operating Value + Net Scenario Impact
How to Use This Calculator
- Enter the commodity name and unit label so the output matches your market.
- Choose whether the business risk is from buying the commodity or selling it.
- Input base and scenario prices to compare current assumptions against a stressed price.
- Enter quantity exposure and any contract multiplier used in procurement, trading, or hedging.
- Add FX rate and basis adjustment when your local cost differs from quoted market price.
- Set hedge ratio to reflect how much of the position is economically protected.
- Set pass-through rate to show how much unfavorable residual risk can be recovered.
- Enter baseline operating value to see the business impact after the commodity move.
- Choose stress range and step size to build a full sensitivity curve.
- Click Calculate Sensitivity to show the results above the form, then export CSV or PDF if needed.
FAQs
What does this calculator measure?
It estimates how commodity price changes affect exposure value, residual risk after hedging, pass-through recovery, and operating performance under a chosen scenario.
When should I choose purchase exposure?
Choose purchase when rising commodity prices increase your input cost, such as fuel, metals, grains, or chemicals bought for production or distribution.
When should I choose sale exposure?
Choose sale when commodity prices mainly affect revenue, such as producers or traders selling oil, gas, metals, crops, or other market-linked outputs.
What is the basis adjustment field?
Basis adjustment lets you add or subtract a local per-unit premium, transport spread, quality spread, or regional differential from market price.
How does hedge ratio work here?
Hedge ratio reduces the raw exposure change. A 60% hedge means only 40% of the modeled commodity move remains economically exposed.
What is pass-through rate?
Pass-through rate is the share of unfavorable residual impact that can be recovered through repricing, surcharges, contract resets, or customer price updates.
Why include baseline operating value?
It shows how the modeled commodity move flows into business performance. The calculator adds net scenario impact to your baseline operating value.
Can I use this for stress testing?
Yes. Set minimum, maximum, and step percentages to generate a sensitivity table and graph across many price shocks around the base price.