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Ontario's middle east | The thing you have to keep in mind is that this is a $CA basis. To convert back you would take cash price at 4.77 x .9045 exch =4.31 US$ So Basis is cash-futures or 4.31-5.01 = -70 US......... about normal for this time of year. We are an exporter of corn so basis is set in US$ and gets translated to $CA, so you can play with that exchange number and see why it matters when the looney changes. Its an inverse relation, higher dollar, lower basis. Beans are what get real interesting. You are essentially calculating a percentage of a much bigger number. | |
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I'm not a corn marketer....
