Last week, the stock market saw swings of more than 1,500 points, where this volatility hadn’t been seen in years in some markets.
While the “volatility unwind” is happening quickly, some of this fortune is trickling into commodities, according to Joe Vaclavik, president of Standard Grain.
“We’ve seen some wider daily trading ranges in things like crude oil, gold and silver, [and] some of the energies—certainly even in the grain markets,” he said on AgDay.
Earlier this month, corn was up a nickel, and soybeans saw 15 to 20 cent gains.
“We’re coming out of a period of extended low volatility where the corn market did nothing,” Vaclavik said. “It’s welcome. We need volatility to offer the farmer marketing opportunities.”
Hear his full analysis on AgDay above.