|
SW KS, near Dodge City | How do you know that most of these weren't already contracted on the board by the packers, and now the cash market is pushing the futures? IE, packer already basically put on a" crush spread" (for lack of a better term/ability to explain) hedge and now is just filling the physical, and isn't as concerned about flat prices b/c they've already locked in their margin? Much like an ethanol plant, then their concerns/risks on the physical side are basically basis and production. | |
|
How does this work? Cattle...
