Download or read book Hedging Effectiveness of U S Wheat Futures Markets written by William W. Wilson and published by . This book was released on 1982 with total page 44 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book An Analysis of Hedging Soft White Wheat Using the Chicago Wheat Futures Market written by Robert Louis Levy and published by . This book was released on 1973 with total page 336 pages. Available in PDF, EPUB and Kindle. Book excerpt: In 1970, the Pacific Northwest (PNW) produced approximately 145,332,000 bushels of wheat (all types) with an average harvest value of over $220,000,000. White wheat comprised about 126,234,000 bushels of that total, about 87 percent. In recent years the financial circumstances, for several reasons, have deteriorated for many farmers and grain handlers in the PNW. The reduced incomes have stimulated renewed exploration for some means of increasing revenues and/or stabilizing net prices received. The effective marketing of wheat in other areas of the U.S. involves the use of wheat futures markets. PNW producers and handlers of White wheat have not generally had this opportunity because the White wheat is not deliverable on existing futures contracts. Consequently, it is desirable to evaluate the feasibility of utilizing existing wheat futures contracts in spite of nondelivery. If the White wheat price patterns move in favorable relation to the price of deliverable wheats, then nondelivery may not preclude effective hedging. A one cent per bushel gain by successful hedging would add about 1.3 million dollars annually to producer income for White wheat in the PNW. Results for a ten year period indicate there are certain hedging strategies which appear to be profitable to PNW White wheat traders. The December wheat futures cortract prcvids long term gross benefits (not considering transaction costs or holding costs) of 5 to 7 cents per bushel on short hedges opened between the first week in March and the third week in March, and closed in the second or third week of May. Short hedge benefits for March futures averaged about 7 to 9 cents per bushel with opening dates between the first and third week of September and closing dates between the third week of January and the first week of March. Corresponding results for short hedges with May futures are 12.5 to 14.5 cents per bushel with opening dates between the last week of July and the last week of September and closing dates between the last week of April and the second week of May; and for the July and September futures, 8.5 to 10.5 cents per bushel with opening dates from the second week of October to the second week of November and closing dates between the second and third weeks of May. The optimum short hedges, all of which fall within the above indicated dates, were profitable nine out of ten years for May futures; eight out of ten years for December, July and September contracts, and seven out of ten years for March contracts. Long hedging strategies were not found to be as frequently profitable--eight out of ten years for July contracts; seven out of ten years for May contracts; six out of ten years for December and March contracts and five out of ten years for September contracts. Optimum long hedges using December futures provided 8.7 to 10.7 cents per bushel with opening dates between the second and third weeks of May and closing dates between the first week of July and the third week of September; for March futures, 10 to 12 cents per bushel with opening dates between the second and third weeks of May and closing dates between the first and third weeks of September; for May futures, 2.5 to 3.5 cents per bushel with opening dates between the second and fourth weeks of June and closing dates between the second week of August and the third week of September; for July futures, 7.5 to 9.5 cents per bushel with opening dates between the second and third weeks of May and closing dates between the first and second weeks of July; and for September contracts, 9. 3 to 11. 3 cents per bushel with opening dates in the second and third weeks of May and closing dates in the second week of September. In several instances, profits or losses were generated in both the cash and futures transactions, indicating that while several of the optimum strategies did generate overall profitable results, the hedge would really need to be considered a "speculative hedge" rather than a "traditional hedge" wherein cash and futures losses and gains are generally offsetting to at least some extent.

Download or read book Grain Futures Contracts An Economic Appraisal written by S. Craig Pirrong and published by Springer Science & Business Media. This book was released on 2012-12-06 with total page 200 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study is an independent scholarly analysis of the economics of the grain futures contracts of the Chicago Board of Trade. The study was made possible by a research grant to the MidAmerica Institute from the Chicago Board of Trade, and we gratefully acknowledge this financial support, as well as the information and vast body of experience made available to us by the Division of Economic Analysis and members of the Exchange. Several other organizations also provided invaluable help from the inception of this study through the full process, either in the form of information, or through discussion: the Commodity Futures Trading Commission, the U.S. Department of Agriculture, the National Grain and Feed Association, the American Soybean Association, the Senate Committee on Agriculture, Nutrition and Forestry, the House Committee on Agriculture, the General Accounting Office, and the Center for the Study of Futures and Options Markets at Virginia Polytechnic and State University. We express our thanks. The primary authors wish to extend a special word of apprecia tion to Michael Brennan, Merton Miller, Richard Roll, Hans Stoll and Lester Telser, who served as members of the Resource Panel for the study. While key strengths of the study reflect their input, ultimate responsibility for the analysis rests with the primary authors.

Download or read book Hedging in Grain Futures written by Joseph Martin Mehl and published by . This book was released on 1931 with total page 114 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Hedging Australian Wheat Exports on U S Futures Markets written by Terence Charles Sheales and published by . This book was released on 1985 with total page 514 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Managing Price Risk in the Pakistan Wheat Market written by Rashid Faruqee and published by Washington, D.C. : The World Bank. This book was released on 1996 with total page 86 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book An Analysis of Relations Among Central market Wheat Prices with Special Reference to the Impact of the Government Loan Program written by Rollo Lee Ehrich and published by . This book was released on 1964 with total page 504 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Hedging Practices and Future Contracts in Marketing High Protein Spring Wheat written by William J. Ewasiuk and published by . This book was released on 1962 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Margins Speculation and Prices in Grains Futures Markets written by United States. Department of Agriculture. Economic Research Service and published by . This book was released on 1967 with total page 260 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Market Structure and Pricing Efficiency of U S Grain Export System written by United States. General Accounting Office and published by . This book was released on 1982 with total page 52 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book An Economic Analysis of the Pricing Efficiency and Market Organization of the U S Grain Export System written by Neilson Chase Conklin and published by . This book was released on 1982 with total page 220 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Deconstructing Wheat Price Spikes a Model of Supply and Demand Financial Speculation and Commodity Price Comovement written by United States Department of Agriculture and published by CreateSpace. This book was released on 2014-12-06 with total page 48 pages. Available in PDF, EPUB and Kindle. Book excerpt: In 2008, wheat futures prices spiked and then crashed along with prices for other agri-cultural and nonagricultural commodities. Market observers offered several theories to explain this common movement, or comovement, in prices, and have proposed policies to address the perceived problem of excessive price volatility. The design of an appropriate policy response would benefit from a better understanding of the cause of the observed price movements. This study uses an econometric model to decompose observed wheat prices into a set of economic factors and measure the relative contribution of each factor to observed price changes. Findings show that market-specific shocks related to supply and demand for wheat were the dominant cause of price spikes in the three U.S. wheat futures markets. Fluctuations in the global macroeconomy associated with broadbased demand shocks were relatively less significant for wheat than for other commodities like crude oil and corn. Finally, little evidence suggests commodity index trading contributed to recent price spikes.

Download or read book Agricultural Marketing and Consumer Behavior in a Changing World written by Berend Wierenga and published by Springer Science & Business Media. This book was released on 2012-12-06 with total page 314 pages. Available in PDF, EPUB and Kindle. Book excerpt: As in many other sectors, in agribusiness major changes are taking place. On the demand side, consumers are changing lifestyles, eating and shopping habits, and increasingly are demanding more accommodation of these needs in the supermarket. With regard to the supply: the traditional distribution channel dominators - manufacturers of branded consumer products - are trying hard to defend their positions against retailers, who gather and use information about the consumer to streamline their enterprises and strengthen their ties with the consumer. The agricultural producers, meanwhile, face increased regulations with regard to food additives, pesticides, and herbicides. Pressures rise as their business becomes more specialized and capital-intensive than that of their predecessors. Finally, the larger political climate is not so favorable to agriculture, which now has to compete in the global market without significant government support. This title describes and interprets changes in the domain of agriculture and food. The contributors develop the theme of taking an interdisciplinary approach to coping with these changes, using concepts and methods developed in general marketing, which are adapted so as to apply to the particular characteristics of the food and agriculture sector. This book is published to honor the distinguished career of Professor Mathew T.G. Meulenberg from Wageningen Agricultural University, on the occasion of his retirement in September 1996. As a scientist, teacher, and advisor to the agribusiness and the government, Professor Meulenberg has made an important contribution to the development of marketing, inside and outside the domain of agriculture.

Download or read book Hedging Australian Wheat Exports on U S Futures Markets written by Terence Charles Sheales and published by . This book was released on 1985 with total page 236 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Improving the Efficiency of Commodity Futures Markets written by United States. Congress. Joint Economic Committee and published by . This book was released on 1984 with total page 148 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Impact of Market Participants Interaction on Futures Prices written by David Bosch and published by . This book was released on 2014 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt: Many trends in the world wheat market might explain the extreme price movements on the U.S. wheat futures markets in 2007/08 and 2010. But the different price reactions on the three wheat futures markets raise doubt if only supply and demand moved wheat future prices. The question arises if the activity of different market participants is also essential for price discovery.This study examines the influence of different market structures on prices of the three most important U.S. wheat futures markets. For this purpose the trader's positions of the Disaggregated Commitment of Traders (DCOT) Report from June 2006 to December 2013 are analyzed. The results show that the dominance of commercial traders on the Minneapolis Grain Exchange resulted in price distortion. This demonstrates that the market structure is of great importance for the price development on futures markets.

Download or read book An Economic Analysis of the Pricing Efficiency and Market Organization of the U S Grain Export System written by Neilson Chase Conklin and published by . This book was released on 1981 with total page 436 pages. Available in PDF, EPUB and Kindle. Book excerpt: