Refocusing the 🐿️'s Ag Positioning
Complacency in the grain complex looks overdone. New Acorn!
As we have been intimating in our notes over the course of the past couple of months, we are getting increasingly bullish on the grain complex.
As such, we are repositioning our exposure to agricultural commodities. We will be closing out the existing ‘Acorn’ option positions in (the diversified Ag ETF) DBA 0.00%↑ and wheat (via the WEAT 0.00%↑ wheat ETF) to refocus on fresh structures in both corn and wheat.
Full details below including a video walk-through.
Refocusing the 🐿️'s ‘Ag’ Positioning
We have been running a number of agricultural commodity (“Ag”) related Acorns over the course of 2023. The core position has been via strip of call options on in DBA 0.00%↑ Invesco’s DB Agriculture Fund, an ETF that invests directly into a basket of Ag futures contracts.
A link to the original report (from late February) is linked below. Many of the high-level climate theories (e.g., Gleissberg and El Nino Modoki) and geopolitical effects (Ukraine War and China exporting food inflation) from this report still stan…