The Duke brothers tried to
steal the crop report. But
Eddie-Ray and Lewis, after
having been quite ill used by
the Dukes, get the real report
and give the Dukes a fake.

The Dukes send their trader to
the commodities floor with
instructions to buy like
crazy. Their fake report
shows a tough winter, and so
they're bett
more

The Duke brothers tried to
steal the crop report. But
Eddie-Ray and Lewis, after
having been quite ill used by
the Dukes, get the real report
and give the Dukes a fake.

The Dukes send their trader to
the commodities floor with
instructions to buy like
crazy. Their fake report
shows a tough winter, and so
they're betting the price will
go way up after the 'official'
release of the report. The
trader starts buying and
others see the Dukes trying to
corner the market, so they
start buying. This drives
the price up.

At just the right time,
Eddie-Ray and Lewis 'sell'
futures contracts for orange
juice. They sell like crazy.
They're selling contracts for
orange juice they don't even
own and can't deliver.
(Basically short selling - in
commodities all you have to do
is be able to deliver at the
date in the contract). Their
selling drives the price down
a bit. It also pads their
trading account with a ton of
cash.

The secretary of agriculture
announces that the winter did
not affect the crop, so the
pit full of traders freaks
out! There's not going to be
price pressure, so they're all
holding OJ contracts that are
seriously overpriced. A mad
selling frenzy ensues, driving
the price way down.

Again at a point timed for
maximum effect, Lewis and
Valentine announce that
they'll 'buy em' -- they buy
back the OJ contracts at a
much lower price than they
sold them for earlier, netting
them a huge profit. They also
refuse to sell to the Duke's
trader, freezing him out.

The Duke's get a margin call
and go bust and our heroes
make a lot of scratch. Of
course, in real life, trading
curbs and circuit breakers
would prevent either side of
this play, but it is
educational and funny to
watch.

Category Movies & Trailers

Tags trading, places, exchange, floor, FCOJ, education, commodities, insider, information, fair, use, educational, excerpt