MGEX Falls Back to Earth

With today's plunge in July MGEX (still a hefty 30 cent premium to Sep), I bailed out of all my intermarket wheat spreads. This was a pretty easy decision to make: lower premiums for July MGEX are not bullish for new crop MGEX, lower premiums for July MGEX are not bullish for any long hard/ short soft wheat spread, premium values farther out on the calendar were nearly unchanged despite the front-month plunge and finally, recent high volatility makes me shy about holding positions that are treading water currently.