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ec. nebr. | If you are seriously worried about the end product value of the crops you raise, then I would hope you buy puts when the market is high before you plant the crop or maybe when you buy your inputs. Or you could also sell forward cash contracts at your local elevator. .I agree that this cliff of lower prices sometime in the future is going to break many farmers who aren’t pro-active on selling enough crop ahead to cover their inputs- esp. cash rents! In this case if you are concerned of missing higher prices you can buy a call. All of this is similar to buying crop insurance protection. It is all income protection. | |
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King dollar
