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Simple question Do over.
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thereaper
Posted 2/9/2019 17:31 (#7309573)
Subject: Simple question Do over.


Ol’ Wisco
Yea I did crumby job stating that question after I reread it. So I changed it up a little.

You are going to get what you expect to yield as of today in all situations.

December corn is going to end Oct 1 (changed for storage vs no storage) at $3 or $5 with equal probability of both.

You have the option to own $4 short futures for your entire expected crop on Oct 1. and futures could be $3 or $5.

Do you take the $4 or take your chances on $3 or $5?
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