# Options Markets Complacent Ahead of La Niña

> CME Group's analysis notes that La Niña appears to be returning after a false start last year, with cooler-than-normal water along the Equator in the eastern Pacific. It states that corn, wheat and soybean options implied volatility is at or near record lows, leaving the markets potentially unprepared for a La Niña-driven volatility spike.

- Date: 2017-10-02 · published 2017-10-02T12:00:00.000Z
- Category: market · region Global · magnitude low
- Page: https://feedsoft.ai/events/68372-options-markets-complacent-ahead-of-la-nina
- Commodities: [Corn](https://feedsoft.ai/c/CORN.md), [Soybeans](https://feedsoft.ai/c/SOY.md), [Wheat (SRW)](https://feedsoft.ai/c/WHEAT.md)

## Why it matters

Record-low implied volatility means options are cheap, so any confirmed weather shock could trigger sharp price moves in corn, wheat and soy. Buyers should consider the risk of rapid price rises if La Niña impacts materialize.

## Read by commodity

- SOY: bullish ▲
- CORN: bullish ▲
- WHEAT: bullish ▲

## Sources

- cmegroup.com: https://www.cmegroup.com/education/featured-reports/options-markets-complacent-ahead-of-la-nina

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.