What are the big NC Ag. commodities that Piggott pointed out?

What is hedging?

Why do we hedge?

What do most speculators do?

Why are speculators important?

agriculture is a ______ business with ________ markets

What does WASDE do and stand for?

Examples of very close / fast acting links are:

Examples of slower but real links are:

the US agricultural economy is a _________ in US economics

Primary function of the futures / options markets is

Participants can register in the FO mkt by

futures markets establish prices for ___________. All forward pricing relies on ________.

___________ are traded on underlying ________ contracts

Why do futures markets work?

What is a futures contract?

sellers are called _____ and _____________

buyers are called _____ and _______

What is an option?

Put Option

Call option

Hedging is what kind of trade-off?

Hedging requires _____

Basic principle of hedging?

cash prices

Forward Contract

Futures Contract

Long

Short

Broker

Exchanges

Hedging

Speculating

Cash Delivery

Cash Settlement

Delivery Month

Nearby

New Crop

Ticker Symbols of the Months

Volume tends to be concentrated in ______ months and also ________ ______ months if there is one

Opening or Open Interest is

Cents per Bushel

Zero Sum Game

Margin Deposit

Margin Call

Mark to Market

Daily Settlement

Initial Margin

Maintenance Margin

Quick Check for Mark to Market

Price Risk

Biggest driver of price risk is

biggest driver for non-ag commodities are

Basis is

basis = local cash price - futures prices so...