Commodity Update For August 24, 2007

As of the close of trading on Friday, August 24, I am still in my December Corn trade, holding my December 320 put option. Corn prices continued to drift lower today. The December contract closed at 358.6, down 3.2 cents from yesterday's close. As happened yesterday, December Corn closed at the lower end of its price range today which suggests some weakness in the market. Also, with the December contract falling and closing below 360, which was a prior resistance level, that also suggests weakness in the market. Both these factors seem to indicate at least somewhat lower prices to come. So, my prospects for this trade look a little better now. The premium on my put option edged up to 5 cents or $250.00 today. So, as of the close of trading today, I have a paper loss of $125 on this option.