The Word On The Streets

03/05/12 -- Last night's fairly steep decline in Chicago grains & soybeans may have been exaggerated by the surprise announcement from the CME Group that with almost immediate effect (ie Monday) local traders/non-hedgers will now have to stump up the same margin calls as commercials/speculators.

Until now these smaller operators have been able to participate in the market at preferential lower margin rates to help them swim with the big fish.

This may have encouraged some of the minnows to exit their positions ahead of next week's change of rules, it is being debated.