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To: BiglyCommentary

So when I trade in cattle futures I can expect a trailer full of cows pull up to my house? 🤠


189 posted on 01/31/2021 2:34:43 PM PST by Rusty0604 (" When you can't make them see the light, make them feel the heat." -Ronald Reagan)
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To: Rusty0604

Not unless you are registered as a commercial trader. And then you have to arrange your own delivery from the contract delivery warehouse/yard location. This isn’t Carvana, click and it shows up in the driveway:)


190 posted on 01/31/2021 2:50:56 PM PST by BiglyCommentary
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To: Rusty0604

If you don’t exit the position, you will get a call about delivery.

Now commodity guys are often LOOKING to have the delivery. That is the point. But what gets interesting is sometimes a “paper trader” gets stuck. Remember the negative oil prices? They had to take delivery, but were full. So they paid storage costs that were higher than the contract.

Which isn’t a big deal of you need to commodity and will add value beyond it.


201 posted on 01/31/2021 3:28:41 PM PST by redgolum (If this culture today is civilization, I will be the barbarian )
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