|
| Yea I calculated in DP charges, I didn't figure free at all.
DP charges are approximately equal to carry, so sell deferred (March) on the board and offset DP charges.
Basis appreciation is your profit over your DP charges. Price DP bushels and lift hedge at same time. I use this strategy and price bushels before Christmas for cash flow and tax reasons every year.
We don't usually see free DP pop up until after Jan 1. I have been known to haul DP bushels early to transfer storage risk (odor, spoilage, etc) because I'm not around a ton and can go a few weeks without checking corn at times. I like to haul it before end of March. | |
|
Corn in commercial storage
