Death comes to us all. Life's but a walking shadow | I agree with you Pat. Sat keeps asking this question and I am beginning to think the answer is right there in front of us.
As a farmer I want to price my crop and sell it. I want someone to agree to accept delivery, better yet come and get it. And at a reasonable price, for corn not $3.50 or $8 but probably somewhere above $5 certainly, hopefully. So why should I sell it today for $4.50 when there is still a chance to get at least $5 later. (Ijust made that mistake with soybeans.)
Likewise some enduser, feed mill, ethanol plant, who knows, wants to buy corn for next year, (at harvest there is always someone with storage or planning willing to take what he can get.) for $4 if possible, $4.50 would be better and hopefully not $5.
Now for the futures speculators, even the small timers have become so sophisicated with high speed computers and account balance protection programs that they have no interest in a play that isn't a sure thing. If anything they are more risk adverse than farmers every were.
So the conclusion to the question about who's selling, nobody. Who's buying, nobody. well a few of both. |
Who's Selling ?
