Can someone here use Ga. redneck lingo to explain options trading to me?

[StuP]

Some big merchant banks have been badly bitten, or gone bust, over traders running wild with options and derivatives, just saying........

 

[BEREZKA]

Them bigwig fellas done made up how many chickens they had to hatch and spun a big yarn about how theyse gonna hatch even fewer so folks who wanted em better up and quit. Some of the young fellas was wise to their scheemin and paid for all of the chickens they actually had and made them go broker than **** because the fat cats borrowed money to sham folks

 

[crippen]

Ok so I think I understand now. What you’re saying is that I need to stick with mutual funds.

 

[Ga G Man]

Index funds. Much lower cost.

 

[GAGunguy]

buy precious metals....brass, lead

 

[WallsGa]

Ok so I think I understand now. What you’re saying is that I need to stick with mutual funds.

and GME, apparently

 

[Redneck1919]

You can have a lot more fun and get broke quicker in Vegas.

 

[BigMike]

I'm a book learner and very good with numbers. Is there such a book out there?

 

[ole ed]

I'm a book learner and very good with numbers. Is there such a book out there?

Ok, I'll try it again for the cow people. Judd has a dairy farm he's wanting to expand. He buys six more Jersey cows from the next farmer over. But he doesn't have enough money to pay for them straight up so the other farmer says go ahead and keep them and when they start producing milk when you get to 500 gallons I'll come and get part of it to make cheese. So six months later the First Farmer Judd calls Amos and tells him that he's reached milk production almost. Judd says he can give Amos the milk to make his cheese and then go buy a few more gallons to even it out from Zebulon his other neighbor. But the bottom has fell out of the milk market and he can get the milk a dollar a gallon cheaper to give back to Amos. So he gets to keep the difference between what the hundred gallons would have been and what he has to pay back to Amos. That's options trading tune in next week for the guys who have chicken farms.

 

[BigMike]

Ok, I'll try it again for the cow people. Judd has a dairy farm he's wanting to expand. He buys six more Jersey cows from the next farmer over. But he doesn't have enough money to pay for them straight up so the other farmer says go ahead and keep them and when they start producing milk when you get to 500 gallons I'll come and get part of it to make cheese. So six months later the First Farmer Judd calls Amos and tells him that he's reached milk production almost. Judd says he can give Amos the milk to make his cheese and then go buy a few more gallons to even it out from Zebulon his other neighbor. But the bottom has fell out of the milk market and he can get the milk a dollar a gallon cheaper to give back to Amos. So he gets to keep the difference between what the hundred gallons would have been and what he has to pay back to Amos. That's options trading tune in next week for the guys who have chicken farms.

So Amos gets what he's promised and Judd only make a few bucks because the milk he had to buy costs less than the milk he owed?