Price Risk
Questions to Ask Before an HTA Contract
Hedge-to-arrive contracts fix a futures reference and leave basis open. Ask who rolls, who posts margin, and when it ends.
Tag
futures
9 posts tagged "futures".
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.
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.
Price Risk
A Hedge Is Not a Price Forecast
Hedging locks in a relationship to a futures price. It does not predict where the market will go next.
Grain Markets
Reading a Grain Chart Without Chasing It
A calm way to read a grain price chart: scale, nearby month, and what a spike does not prove.
Grain Markets
How a Country Elevator Builds a Cash Bid
See how futures, local basis, freight, and handling turn into the cash bid on an elevator board.
Price Risk
Options on Futures: A Cautious Introduction for Farmers
How put and call options on grain futures work, with a price-floor example, premium costs, time value and the risks to understand first.
Price Risk
Hedging Basics for a Small Grain Producer
How a short hedge with futures can protect a grain price, with a worked example, the role of basis, margin needs and the limits of hedging.
Grain Markets
What Does Basis Mean in Grain Markets?
Basis is the gap between a local cash grain price and the futures price. Learn how it is calculated, what moves it and why it matters.