help me understand limit up? emergency

Quote from mnkc:

Anyone why the wheat is limit up for 4 consecutive days? It is very rare to see these things happen.
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Corn production up due to ethanol need.
That limits soybean & wheat production.
Australia is the 4th largest producer of wheat and their exports are near nil due to drought.
Consumption has increased year over year.
. . . just to name a few.
 
Quote from Rtrader2525:

what to do with my wheat contracts, got three. nervous about holding over weekend.any input advice??
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What month?
What was your entry?
 
Quote from mnkc:

Anyone why the wheat is limit up for 4 consecutive days? It is very rare to see these things happen.
More...

Very low carryover for old crop wheat.
KC and Chicago new crop (July) wheat is already in the ground.
MGX new crop (Sept) wheat has not been planted yet. (I bet there will be lots of folks planting that.)
MGX is pulling KC and Chicago up.
 
Here is a typical wheat field in Australia (used to be the 4th largest wheat exporter in the world). Between the weather (drought) and the bankers (sucking the producers dry) in Australia the wheat crop is all but permanently destroyed. At the best it will be years before it recovers.

A $4 loaf of bread?

Be sure to vote for one of the absolutely lame front runners for President and then prepare to tell your children and grandchildren that you knew a time when food was plentiful.
 

Attachments

Hi to everyone, I have a question regarding the march wheat contract...i am short (like a fool) and was wondering how a person can get out if the futures were locked limit up all the way through march experation? if they opened up the limit everyday then expired how could you ever cover your short position? And if the march contract options expire tomorrow, how could you hedge it? Thanks for anyones help...
 
Try to cover it in the cash market. You could then deliver the wheat against the futures. It would really be neat if the March were to lock up-limit everyday until First Notice Day when the price limits are removed, then the final-top can be made. We'll see.
 
Quote from nightguil:

Hi to everyone, I have a question regarding the march wheat contract...i am short (like a fool) and was wondering how a person can get out if the futures were locked limit up all the way through march experation? if they opened up the limit everyday then expired how could you ever cover your short position? And if the march contract options expire tomorrow, how could you hedge it? Thanks for anyones help...
More...

Sorry to hear someone told you a top had set in.
There were pull backs yesterday, there should be more today.
 
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