More on Commodity Prices, Volatility and Risk: Is the Corn Market Becoming Riskier?

Authors

Fabio Mattos, University of Nebraska-LincolnFollow

Date of this Version

2013

Document Type

Article

Citation

Cornhusker Economics (December 11, 2013)

Comments

Published by University of Nebraska–Lincoln Extension, Institute of Agriculture & Natural Resources, Department of Agricultural Economics. Copyright © [2013] Board of Regents, University of Nebraska. http://agecon.unl.edu/cornhuskereconomics

Abstract

In last week’s Cornhusker Economics newsletter (12/04/2013), we discussed price risk in the soybean market. This week, we are following up with a discussion about volatility and risk in the corn market. Again, let us begin by looking at daily nearby futures prices for corn between July 1959 and May 2013 (Figure 1, on next page), and split the sample into four periods for our analysis: Aug/59–Jul/72, Aug/72–Jul/88, Aug/88–Jul/05 and Aug/05–May/13.