Posted 3/25/2020 21:04 (#8138949 - in reply to #8138483) Subject: RE: Jon, there is an ethanol plant
Anderson County Kansas
Horrible price risk would be buying July corn for say 4.50 not selling the board and having corn go down 1 dollar a bushel and the ethanol price tank. Ethanol futures aren't as easy to use to hedge the spread as corn. They buy the corn and sell futures. If corn goes up they are going to have the physical to offset the futures loss.