
’22-CROP CORN RECCO UPDATE: Last May we had you price the first 15% of ’22 corn with December futures at $7.26. In mid-August we had you buy it back in Dec. ’23 futures at $5.83. With ’22 crop cash sales completed in early January, it’s time to close the books on ’22-crop completely. Exit that long position in Dec. ’23 corn this morning. NEW RECCO FOR ’23 CORN DAY 1: As our first move on ’23 crop, we advise selling $6.30 Dec. call options covering 15% of anticipated production if you can get 22 cents or better. NOTE: By way of explanation, this is called “writing a covered call” for producers because even if the trade works against you, your risk is “covered” by the rising value of your growing crop. The tactic can be win-win either way. If eventually exercised by the buyer, you will be assigned a short position in Dec’ 23 futures at $6.30 covering 15% of your crop – which is 60 cents better than yesterday’s close. If, on the other hand, it ends up expiring worthless to the buyer, then you simply keep the 22 cents credited to your account when you sold the option as a “price…