CME Group (www.cmegroup.com) today announced it will transition open outcry trading of Kansas City Board of Trade (KCBT) hard red winter (HRW) wheat futures and options to its Chicago trading floor beginning Monday, July 1, 2013, pending CFTC review. The company’s release says this transition will accelerate efficiencies and trading opportunities for customers trading both… Read More
Category: Hedging
According to Dow Jones Newswires, CME Group has agreed to buy the Kansas City Board of Trade for US$126 million. CME already owns the Chicago Board of Trade (CBOT). By purchasing Kansas City, CME would then offer wheat contracts for both soft and hard wheats, along with several other agriculture commodity contracts. While it’s not… Read More
Am I the only one left scratching my head over the newly minted CWB offering canola pools? Voluntary pooling is all good, if that’s what you’re in to, but I thought a very recent survey asking farmers if they’d be interested in a canola pool went over like a lead balloon. Apparently not, according to… Read More
Corn drives the agriculture commodity complex which provides great coffee shop and water cooler fodder. Demand for corn has been strong and supplies have been tight which has made the market strong. One of the scenarios livestock producers were hoping for was for the 2011 crop to produce strong yields and a cushion in the… Read More
This week the USDA report really smacked the commodity market into a downward spiral on Wednesday. Most people said that the negative reaction was an over reaction but still it does wake some farmers up to the potential downward snap that this market can take. As Jon Driedger, FarmLiunk Marketing discusses below, this is great… Read More
Is it just me or does it seem like if some guy tips over a gerry can, the price of fuel goes up? Don’t get me wrong, the situation in the Middle East is serious stuff and should concern us, but on a different level. Will it warrant a two dollar a litre price? Granted,… Read More
In the last few years, lentil acres in Canada were on the rise. Farmers across the country planted just over 2.5 million acres of the crop last year. That being said, the expectation this year is that lentil acres will be down about 25% according to some analysts. Apparently, as good as the price for… Read More
Marketing your crop through the cash market is not the only tool for farmers to use. A growing group of farmers are using the derivative market with futures and options to manage the volatile risk of commodities. With the increase in price volatility producers have to reach out to use as much of the toolbox… Read More
Markets go up and markets go down. In the last thirty days canola has taken quite a run in multiple directions. Is it overbought, oversold or just right. Ask all of us in November. The trading range of $500 – $600 per tonne seems to be a real opportunity to trade the range but for… Read More
There has been quite a bit of commentary in the media recently from certain farm groups like the NFU and R-Calf regarding the need to eliminate or more strictly regulate speculators in the market. Interest in commodities has greatly increased in recent years which has increased the volume of speculators trading in corn, beef and… Read More