06/09/2025 The Big Short, The Big Long

New Recco Day 3: Cover 20% of new crop buying short-dated September $4.40 puts at 20 cents or better.  This would take total new crop coverage to 50%. Planting is nearing completion and has been planted in optimal conditions.  The short-term weather outlook is favorable. It provides coverage through late August, getting us through the June acreage report and the bulk of the critical growing season.  Contact your broker about potentially selling calls to reduce costs. Filled on 6/5/2025 at 16 ½ cents. Above you will find today’s installment of Morning Market Talk. Quiet Start to the Week You can click on the picture above to take you to this morning’s episode. On the Grains The Big Short was a 2015 movie based on Michael Lewis’s book, The Big Short: Inside the Doomsday Machine. While based on the events of the subprime mortgage debacle, it focused on investors who saw the impending collapse of the housing market and profited significantly. The Commitment of Traders report contains some interesting data on how funds are currently betting. For example, the funds were sellers of 54,283 corn contracts, putting them net short 154,043. In the housing market, a few bet against the herd mentality and won. Yet, in grains,…