Bungee Jumping

I was Bungee Jumping in the future market this week. Monday, I was on the mountain top. Tuesday, I was suspended in the valley, waiting for the lifeguard. 🙁

I lost more than $10000 in one day because I made some silly mistakes on Monday. When waiting anxiously for the USDA grain stocks report, I mistakenly “stop buy” the corn instead of “stop sell”. When I suddenly realized the mistake in the afternoon, it was already too late! $0.1 dropped, and my $10000 gone with the wind.

Another thing that shocked me was the shut down of the US federal government. I didn’t know that a government could shut down in this way and the country could still keep running well. So what is the point of the existence of this government? Is it just a decoration?

Living under the control of the powerful government for twenty years, I regarded government as the pillar of a country. They are like the boss of a company and can manipulate everything and even everyone. Sounds pretty scary. We workers are so panic all the time but there is nothing we could do except working hard and avoiding mistakes. However, the government in the US is more like a manager, strong but not dominant. Citizens are the real boss. Government can quit its job while citizens can still live a peaceful life. What an amazing country.

What is more, it seems there is barely any impact of the government shut down on the agricultural commodities price. Despite the shut down of USDA and all the relevant webpages, prices of the three main commodities grew steadily in the following days of the big news, even more smooth than last week. I have two guesses about this situation. The first is that the agricultural commodities prices are quite independent of the government policies. The major factors that affect the prices are nature and market, such as weather, production, stock, supply and demand. The second is that most people are holding a “wait and see” attitude towards the shut down and are taking a break from the future trading, finally brings some peaceful atmosphere to the future market.

PS. There is shut down effect on livestock and dairy markets already. Maybe the effect on corn, soybean and wheat will come soon.

This is my portfolio of this week. Bleeding. T.T Hope to gain back next week!

Thanks!