The manager of Vueling is worried about a possible increase in crude oil price volatility. Under this scenario the uncertainty regarding operational costs of the firm would rise. What strategy with options must Vueling Airlines follow to be hedged against this possibility?

Select one:

a. Buy put options on the oil crude

b. Sell a future contract on the oil crude

c. Buy a straddle written on crude oil.

d. Sell a straddle written on crude oil