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 start the day with Unemployment and Wholesale Trade at 7:30 A.M. and Consumer Credit at 2:00 P.M. On the Corn front we had a nice close in yesterday’s open out-cry session. Lack of acres and still more rains are concerning to how many more acres will not be planted and what quality yields will be produced. In the overnight electronic the July Corn is currently trading at 419 ¼ which is 1 ¼ of a cent lower. The trading range has been 423 ½ to 415 ¾.
On the Ethanol Front the July contract posted a trade at 1.490 which is .002 higher. The market is currently showing 1 bid @ 1.487 and 1 offer @ 1.499 with 1 contract traded and Open Interest continuing to drop to 582 positions.
On the Crude Oil front the market rallied late on news that Mexico is ready to finally act on curbing the migrant influx at their Guatemala border to avoid sanctions. Again we expect Facta non Verba which translates to deeds not words to avoid these sanctions. The jobs number was not as good as expected but with the FED talking rate cuts we still have an Ace up our sleeve. The economy is strong but the headlines rattle the markets. And many of those headlines prove to be incorrect. In the overnight electronic session the July Crude Oil is currently trading at 5321 which is 56 points higher. The trading range has been 5383 to 5292.
On the Natural Gas front we may get an oversold bounce but overall we remain bearish. In the overnight electronic session the July Natural Gas is currently trading at 2.334 which 1 cent higher. The trading range has been 2.348 to 2.318.
Have a Great Trading Day!
Questions? Ask Dan Flynn today at 312-264-4374