I have an adjustable mortgage loan for $540,000 tight ot the 1 year LIBOR with fixed rate till 2013 September for 6.25% and margin of 2.25% and cap of 2%, Life time Cap of 5% and 1st change cap of 5%. The rate adjusts every 12 months after September of 2013. How do I hedge this against inflation? The current Eurodollar on CME is based on 3 month LIBOR and the 2013 September is at 4.45%. One contract has a value of $1,000,000 How do I hedge for every year after that? I can't simply sell Eurodollar for every year after 2013. Should I pick what period of time I want to hedge and sell Eurodollar futures from that year? What about the fact that I need to hedge only $540,000 and one contract is $1,000,000? Is there a better instrument that I can use?