I won't touch the KW/W anymore this year. So many people have been caught on the wrong side of it, me included. The problem is SRW stocks are low whereas HRW' aren't. And HRW isn't winning much export business despite Russia being exhausted. France is getting the lion's share now.
Just put a reverse ethanol crush spread, Long 1 EHK19-2*ZCK19 @ 2217. - The US is making pressure on China to lower ethanol tariffs. - The profit margin of ethanol is still really low even if it increased lately. - Corn is the laggard in the latest export inspections.
Corn been a delight to sell since December either outright or Call credit spreads, wondering if September lows will be broken. Then 353.75 heavy support off the weeklies. Usually at this time preparing for the move up, but 4 years in a row of this move, leery of this move to happen. What you gentlemen who follow fundamentals see?
Corn was supposed to be the tightest this marketing year, but as we are approaching spring, there is still plenty of it. Here is a related article : https://www.spglobal.com/platts/en/...g&hootpostid=bb7f3da5acee770ebddcb978ef88ce64
Last 1/4 liquidated @ -18.050 today. A good example of a seasonal trade where you bet on new historical extremes instead of a return to the mean. Hogs is a good instrument for those.