The chart below portrays the published volatility and the average 20-day volatility (between ‘vol’ calculated based on high and low prices as well as ‘vol’ calculated based on daily MTM prices) for the JUL16WMAZ contract.  Publish volatility has remained  range bound between 25.5% and 30% since the beginning of the year whilst the average 20-day ‘vol’ has spiked 5% higher and recently dipped just more than 5% lower.  Uncertainty on maize production as well as supply and demand factors for options still remain key drivers of volatility.