Dan Flynn is the writer of The Corn & Ethanol Report, a daily market letter covering grains, energies, and various global issues that are the driving force and backbone of the commodity markets. Contact Mr. Flynn at (312) 264-4374
This morning we kick off the day with Export Sales, Initial Jobless Claims, and PPI at 7:30 A.M. followed by the weekly EIA Gas Storage at 9:30 A.M. and the last day of Janet Yellen speaking. Yesterday’s Grain report was lackluster at best where many investors were glum as they were expecting a more bullish surprise. The continued changing of weather forecast with rains and the heat dome that did not head as far east in a more northerly direction and with product on hand regardless off exports kept the bears on the selling accelerator with any sort of rally. Weather changes with rains, flooding and the heat dome could be a game changer in the next couple of weeks. In the overnight electronic session the September Corn is currently trading at 381 which is 4 ½ cents lower. The trading range has been 385 ¼ to 380 ½.
On the Ethanol front there were no trades posted in the overnight electronic session. The August contract settled at 1.550 and is currently showing 1 bid @ 1.537 and 4 offers @ 1.556 with declining Open Interest at 978 contracts as traders begin the roll to the September contract.
On the Crude Oil front what can you say…? Investments in wells and drilling are down at these prices. OPEC has called for an emergency meeting on July 17th which could expand and extend future production cuts with already the draws showing in the U.S. weekly inventories. Any more bullish news could give this market a resounding pop that will surprise the naysayers and spark a rally with those investors caught short. In the overnight electronic session the August Crude Oil has already turned around from being 50 points lower. The contract is currently trading at 4555 which is 6 points higher. The trading range has been 4563 to 4499.
On the Natural Gas front the market is trading lower ahead of the EIA Gas Storage. The weekly Thomson Reuters poll of 24 analyst polled see injection numbers anywhere from 43 bcf to 65 bcf with the median build of 59 bcf. This compares to last week’s build of 72 bcf, the 1 year at 61 bcf and the five year average of 72 bcf. In the overnight electronic session the August contract is currently trading at 2.955 which is 3 cents lower. The trading range has been 3.020 to 2.947. We are still tracking the heat dome and we are not expecting any Tropical cyclone activity in the Atlantic for the next 48 hours.
Have a Great Trading Day!
Questions? Ask Dan Flynn today at 312-264-4374
A Subsidiary of Price Holdings, Inc. – an Employee Owned Diversified Financial Services Firm. Member NIBA, NFA
Past results are not necessarily indicative of future results. Investing in futures can involve substantial risk of loss & is not suitable for everyone. Trading foreign exchange also involves a high degree of risk. The leverage created by trading on margin can work against you as well as for you, and losses can exceed your entire investment. Before opening an account and trading, you should seek advice from your advisors as appropriate to ensure that you understand the risks and can withstand the losses.
The information and data in this report were obtained from sources considered reliable. Their accuracy or completeness is not guaranteed and the giving of the same is not to be deemed as an offer or solicitation on our part with respect to the sale or purchase of any securities or futures. The Price Futures Group, its officers, directors, employees, and brokers may in the normal course of business have positions, which may or may not agree with the opinions expressed in this report. Any decision to purchase or sell as a result of the opinions expressed in this report will be the full responsibility of the person authorizing such transaction. Reproduction and/or distribution of any portion of this report are strictly prohibited without the written permission of the author. Trading in futures contracts, options on futures contracts, and forward contracts is not suitable for all investors and involves substantial risks. ©2017
SubscribeReceive daily summaries of all Market Insights blog posts.
Enter email below.
Most Recent Posts
- Morning Grains Report 11/22/17
- Morning Softs Report 11/22/17
- Gobble Gobble Rally. The Corn & Ethanol Report 11/22/17
- Hedgers Give Thanks. The Energy Report 11/22/17
- FOAM and Futures! [PRICE Links Video]
- Morning Grains 11/21/17
- Morning Softs 11/21/17
- Harvest Near Complete. The Corn & Ethanol Report 11/21/17