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 have the weekly API Energy Stocks at 3:30 P.M. and draws are expected. Investors are looking at earnings as the Stock market changed its attention from the tit for tat tariffs before they are officially imposed. On the Corn front Reuters reporter Michael Hirtzer reported that the USDA downgraded the good to excellent in Corn to 75% from 76% last week. I still think it is too early to judge the entire crop with late plantings in certain growing areas and the stalks are not that tall. So weather will become the vehicle driving this market for now. We also had Soybeans registering 70% good to excellent down from 71% last week. Spring Wheat 76% vs. last week of 77% and Winter Wheat harvested 65% from 51% last week. In the overnight electronic session the September Corn is currently trading at 351 ¼ which is 2 ¾ cents lower. The trading range has been 354 to 350 ¼. Remember Friday is Last Trading Day in all July Grains.
On the Ethanol front the August contract is currently trading at 1.425 which is .008 lower in the overnight electronic session. The trading range has been 1.430 to 1.425 with 7 contracts traded and Open Interest dropping to 1,000 contracts. The market is currently showing 1 bid @ 1.423 and 2 offers @ 1.429.
On the Crude Oil front we have the API Energy Stocks at 3:30 P.M. Whispers that we should see further draws. The back-end of the market shows premium catching up to the front end with global demand on the rise and no Iranian or Venezuelan oil to fill the supply gap. In the overnight electronic session the August Crude Oil is currently trading at 7413 which is 28 points higher. The trading range has been 7444 to 7388.
On the Natural Gas front the August contract is currently trading at 2.813 which is 1 and ½ of a cent lower. The trading range has been 2.835 to 2.802. There are a lot of bears in this market and we can send out further market quick takes from a source with a reliable track record. Any questions you can call me or email me at the contact information below.
Have a Great Trading Day!
Questions? Ask Dan Flynn today at 312-264-4374