Posted 7/10/2012 09:37 (#2477171 - in reply to #2477154) Subject: Re: Options to protect crop ins.
It would work assuming corn won't go to 10plus for a period of time. If it does you will have margin calls on the call you sell. Also lets say Dec corn settles at 13 bucks (it will never happen, but never say never) insurance on covers you to 11 bucks. Then you have a loss on the call that the crop insurance won't cover so you've lost another 2 dollars a bushel. Its just darn risky right now!
Options to protect crop ins.
