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 Wholesale Trade at 7:30 A.M. and API Energy Stocks at 3:30 P.M. Hurricane Florence is building towards a Category 5 and area of North and South Carolina and Virginia are evacuating from this monster storm. And in this active Hurricane season we have a Disturbance in the Gulf of Mexico which has a 30% chance of organizing to bring hurricane rains and winds to be a threat, we also have Tropical Storm Isaac that is a threat to the Gulf of Mexico as well and the current cone is showing it could make landfall in Honduras, Nicaragua, Guatemala and Mexico, the storm is moving west at 12 knots, only to be followed bu Hurricane Helene which the current cone expects her to churn up the Atlantic and not be a threat to the U.S. coast. On the Corn front all eyes seemed to be focused on global trade and tomorrows Crop Production USDA Supply/Demand data. In the overnight electronic session the December Corn is currently trading at 366 ¼ which is 1 cent lower. The trading range has been 369 to 366. Crop Progress has been delayed until 11:00 A.M. today.
On the Ethanol front there were no trades posted in the overnight electronic session. The October contract settled at 1.290 and is currently showing 1 bid @ 1.286 and 1 offer @ 1.291 with dropping Open Interest at 1,250 contracts.
On the Crude Oil front the market keeps flirting with the Bollinger band number and fundamentals that will prove that the bulls will be in the driver’s seat shortly. When people realize that shortages are real and so is consumption which is at a record pace, they may come back to the reality that they are late again and once again the horse has already left the barn. In the overnight electronic session the October Crude Oil is currently trading at 6771 which is 17 points higher. The trading range has been 6792 to 6751.
On the Natural Gas front the market seems to be in dry-dock with no upside in sight but looking at the downside , you have to ask, how much lower can she go? In the overnight electronic session the October Natural Gas is currently trading at 2.799 which is ½ of a cent lower. The trading range has been 2.816 to 2.791.
On this day let’s never forget our countrymen and military that the average Joe makes America Great!
God Bless Our Men and Woman Serving Our Country Keeping Us Safe!
Have a Great Trading Day!
Questions? Ask Dan Flynn today at 312-264-4374