$2\mathrm{.}5$ points

Which of the following is false?

Changing basis, production shortfalls, and inadequate liquidity are all hedging hazards.

A weaker basis helps a long hedger.

Speculators add to market liquidity.

Gains and losses on open futures positions are settled directly between the buyer and seller.

Speculators assume market risk while trying to make a profit in the futures market.