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Veteran Advisor
Posts: 2,780
Registered: ‎02-11-2013
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Re: Floor Talk March 1

sw you are basicly on both counts.  The high speed computer trading, world wide, almost 24 hours a day, really is unrealistic, in

my humble opinion.  do you really think elcheapo is up at 3:35 in the morning....every morning, hedging.......no.

plus the high speed...it is now just a "computer game"......there is a thing with the computers....you can stay at home, and

get up and do a trade in your underwear......the computer is "just there".....you sometimes don't think about what your doing on it,

it's almost, "like a game"......look at us here, at times we get rather wound up, giving our opinions, that if perhaps we thought about

it for a while, we might not have typed it.....so that is how trading has become..we've lost "something"...

the days of calling the broker, talked to him, he turned about to kc or Chicago, and placed the order, then someone anwered the

phone, the relayed to pit, then the actual "transaction".......all the humans have been taken out of the picture (if trump wants to

make some jobs...how about doing away with electronic trading, look how many jobs we would get back !!)....so the game aspect

of it, and how easy it is, even do it on your smart phone......and getting trades down to $5 to $20 broker's cost, thru someone

like etrade......it's not a "market" anymore......and just a way to make money, jump in, jump out...so your are right on #1

 

#2......well around here, a couple of things.....first, you have to sell when the market is open.......so they can offset......remember

when you could call the elevator and an hour or two (or less) you could have a check to go to town with or pay a bill ?

not today.....also, I've seen time where the merchant will add a few cents to a sale, if you ask........

really, I have never felt bad for the elevator operators.....they have their "basis".  A fellow that's dead that was in the grain business

tried to sell me an elevator.....he told me how he did it, and I already know how...he made money if it went up or down, the only

time you don't make money is when there is no grain...he said the farmers got their crop insurance and disaster payments,

running the elevator, you don't get that.....so there is a bit in it that they need to make a little extra, to cover when there

is no grain.

yes, the basis does some, to help protect them, but when I look at the basis I have to deal with, and figuring the cost to ship

stuff, and the like....I think part of the basis, is just pure greed, too much help, buying too many "toys", and bad management.

just my opinion......I've been wrong before....but looking at the basis numbers tonight........"somethin ain't right".