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
We kickoff the day with CPI, Export Sales and Real Earnings at 7:30 A.M., EIA Gas Storage at 9:30 A.M. and Crop Production USDA Supply/Demand at 11:00 A.M. On the Corn front farmers work between the rains if the fields were dry enough as they anticipate rains tonight, scattered rains on Friday and very wet conditions on Saturday and Sunday. That is why the farmers I spoke with worked at an accelerated pace as we are expected to clear up and have warmer temperatures starting Monday. In the overnight electronic session the July Corn is currently trading at 402 ¾ which is unchanged. The trading range has been 404 ½ to 402 ¼.
On the Ethanol front the June contract is currently trading at 1.471 which is .004 higher. The trading range has been 1.476 to 1.467. The market traded 3 contracts and is currently showing 1 bid @ 1.481 and 2 offers @ 1.479. Rollovers to the July contract are beginning as the Open Interest climb to 649 contracts with no trades in the overnight electronic session while the June Open Interest fell to 816 contracts.
On the Crude Oil front the fundamentals remain strong on tight supplies and the geo-political front. The market is overbought so I would look to buy any pullback because the threats in the Middle-East investors would not want to be short going into the weekend. In the overnight electronic session the June Crude Oil is currently trading at 7150 which is 36 points higher. The trading range has been 7189 to 7119.
On the Natural Gas front we have the weekly EIA Gas Storage this morning and the Thomson Reuters poll with 19 analysts participating expect builds from 75 bcf to 114 bcf with the median build of 91 bcf. This compares to the one-year build of 49 bcf and the five-year average of 75 bcf. In the overnight electronic session the June Natural Gas is currently trading at 2.722 which is 1 and a ½ of cent lower. The trading range has been 2.738 to 2.709.
Have a Great Trading Day!
Questions? Ask Dan Flynn today at 312-264-4374