In order to stay profitable, producers have to sell their commodities at or above their breakeven. Seems simple, right?
So who determines what those commodities are worth? How do other people buy and sell futures and options? Who sets the prices of commodities?
That’s where the Chicago Board of Trade comes into play.
In this episode of Grain IQ, author and market analyst Elaine Kub explains the role the Chicago Board of Trade plays in setting the futures price for commodities.
Grain IQ is a production of the Nebraska Rural Radio Association, in cooperation and with support from the Nebraska Soybean Board.
Listen to Grain IQ on Spotify, Apple Podcasts, YouTube or ruralradionetwork.com.
