Grain Markets
Volume and Open Interest, Plainly
Volume counts contracts traded in a period. Open interest counts contracts still open. Neither number is a price forecast.
Payment and Credit
Open Account or a Documentary Collection
Open account ships first and trusts the buyer to pay. A collection keeps the papers at the bank until the buyer acts.
Inspection and Sampling
Foreign Material and the Discount Column
Foreign material is what does not belong in the grain. It lands in the discount column, and standards differ by market.
Crop Basics
Sorghum in Trade, and Why Some Say Milo
Sorghum is a feed and food grain traded on its own terms. In parts of the United States, people still call it milo.
Price Risk
Margin Calls in Plain Language
A margin call asks you to add funds when a futures position moves against you. It is not a bill for the grain.
Tariffs and Policy
Export Controls and an Ordinary Grain Sale
Most grain sales are ordinary commerce. Export controls are a separate gate, and they are not the same as a tariff.
Trade Paperwork
Why a Weight Certificate Follows the Grain
A weight certificate records how a grain cargo was measured. Shore scales and draft surveys answer different questions.
Storage and Freight
Demurrage and Dispatch in Everyday Words
Demurrage charges a ship that waits too long. Dispatch, if the contract allows it, pays for finishing early.
Grain Markets
Why a Nearby Feed Mill Can Lift a Bid
A feed mill short of nearby grain can lift the local cash bid even when the futures price does not move.
Payment and Credit
Cash Against Documents in Everyday Words
Cash against documents releases the papers when the buyer pays. The bank does not promise the payment.
Inspection and Sampling
How to Probe a Grain Truck for a Fair Sample
How to probe a grain truck so the sample matches the load, not just the grain on top.
Crop Basics
Feed Barley and Malting Barley in Trade
Feed barley and malting barley meet different specs. Germination and variety decide which bid is real.