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Red River Valley | I would have to see cheaper prices to sell puts - the problem with puts in my view is that they are hard to get volatility Premium at lower price areas (IMHO ) so if corn is trading at say $2.80 and you are trying to sell a $2.60 put the reason it is trading at $2.80 is because everybody already knows we have to much corn around and the market is dragging lower just do not support volatility.
again IMHO its hard to get paid for the Known -- its the unknown that sparks volatility and that in turn raises premium, and as stated many time sell that premium.
As far as diesel goes with the big carry in the ULSD market not sure there is much of a way to lock in diesel prices ( that are reasonable MO) for two or three years out 2 years out is close to .50 per gallon higher than today.
and with the new ULSD storage can be a problem - keeping it in condition is very diff. one thing for certain if your going to try it make sure you buy some product that contains sulfer to mix into your storage tank.
Edited by Tara Farms 12/13/2015 15:34
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corndude I am going to start this thread
