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What's the game plan if corn inputs...
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zmracing
Posted 10/19/2014 06:59 (#4134383 - in reply to #4134085)
Subject: RE: What's the game plan if corn inputs...


west central MN

I think the last thing I would do is to buy the board. It is bad now but if it would happen to get worse then you could not only lose more farming but also have a spec lose. If you are sure that prices are going higher then I would rather buy calls and limit your risk rather then just strait out buy the board. If it turns around and gets better then we will just be glad that we are able to farm for a profit again. I think this is a time to try to hold together the profits that we have made the last few years and be happy with a break even or just to hold things together. With the carry in the market I think it is possible for a lot of guys to forward sell some and then when they get the crop close to in the bin it might be possible to roll it again and gain some more carry for storage. $4.00 dec. 2015 now and then if we can add 40 cents more carry that gives you $4.40 CBOT price( not good but a lot better then we have now). If we have an inverted market next year that will probable mean that we have a short crop and someone needs the physical. If we have a short crop the prices should be higher and we won't have to worry about getting more carry.

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