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Frytown, Iowa | Good thoughts David. Being burned in the past is probably a huge one. Possibility of 2.60 corn? On the board? That's one initial thought that came to my mind when thinking about this...
I like the $8 corn scenario lol... Your saying maybe they had it hedged previously?
Not enough cash to withstand the possible margin calls, that's a good one.
I guess a real question would be if a person has his hedged from before, does that make a difference if he buys it back on the board now? Say I have 50% sold at $4 and another 50% unpriced of my corns and all needs to be moved by harvest...
If I was to move all of it at harvest and half of it was priced and I wanted to reown the 50% that wasn't sold hedged in the first place... Why not reown it all? I think I'm having trouble figuring out where farming stops and marketing begins... Where marketing stops and trading begins...
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