Tone down the lack of clue. Imagine you are buying goods denominated in euros and it takes two weeks for them to be delivered. You don't want to incur any P&L

Tone down the lack of clue. Imagine you are buying goods denominated in euros and it takes two weeks for them to be delivered. You don't want to incur any P&L due to the change in exchange rate between now and delivery. The exchange rate changes all the time. You would use a currency forward to hedge out that change.