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Ol’ Wisco | Conan, the volatility and implied vol in this market has me scratching my head.We are Adding a substantial amount more optionality to our hedging portfolio bc I think there is an edge to be gained there. The thing that is so hard to figure out is that vol just keeps bleeding away and never really pops with a rise in the market (vol and price in grains are directionally correlated most all the time). My personal take is that with the low IV (forward looking market volatility), the market is “saying” if production has any hiccups your opportunity to price at the elevated levels will be short lived.
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Soybean Charts
