4min chapter

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Days of Futures Past Episode 1 | Scott Irwin, Professor, University of Illinois and Author of “Back to the Futures”

SmarterMarkets™

CHAPTER

The Nonconvergence of the Wheat Futures Market

Most conventional wisdom was that these massive passives were distorting the wheat futures market on the buy side. And so the idea is that you need to force the index funds out of the market. That was a very popular proposal. Another one, and this gets really back to where we started: something called forced to load out. But with the boom in commodity prices in 0708, the value of storage skyrocketed.

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