11/13/2024 Middle of the Week, Middle of the Road

On the Grains
Good morning ladies and gentleman, we got another bucker overnight as corn is wildly up ¼ of a cent and soybeans are down ¼ of a penny. I started in the grain business in 2004 and remember the months that corn would only move 3-4 cents for the whole month, guess we are back at that. With corn and soybean harvest all buttoned up, 95% done on corn and 96% on soybeans, it’s a hurry up and wait game. While I am a little more friendly corn, some put options or options spread might be warranted as we sort out this geopolitical risk. July at-the-money ($4.50) puts are running 27 cents and depending on risk tolerance, you could sell a $5.10 for 11 cents to cheapen that up. With last year’s yield and reduced drying cost this should be at a profitable level, for most people.