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 off the day with Wholesale Trade at 7:30 A.M., EIA Energy Stocks at 9:30 A.M. and Dairy Product Sales at 2:30 P.M. Jerome Powell speaks today and Stock Market investors are hoping he speaks dovish to get the market roaring back. On the Corn front we await tomorrows Crop Production USDA Supply/Demand report and with warmer temperatures and after Monday’s Crop Progress report had an upswing on good to excellent and put a pall on anymore strong buyers at these levels, and considering Genetically Modified Organism (GMO) crops that have produced bumper crops are having investors thinking we will have Corn growing out of our ears or like Jack and the Beanstalk. I still believe this crop will still see a major shortfall and look to buy valued dips in the market. In the overnight electronic session the December Corn is currently trading at 428 which is 3 ¾ cents lower. The trading range has been 430 to 428.
On the Ethanol front in the overnight electronic session the August contract is currently trading at 1.461 which is .023 lower. The trading range has been 1.473 to 1.461. The market is currently showing 1 bid @ 1.462 and 1 offer @ 1.474 with 9 contracts traded and Open Interest at 694 contracts.
On the Crude Oil front worries about a Tropical Depression or Storm developing in the Gulf of Mexico has shorts scurrying for the exits also other factors with a bullish API draw on inventories last night has the market sailing. Jerome Powell has been talking dovish so far this morning and we must not forget OPEC production cuts and the geo-political theatre and if the EIA Energy Stocks are close to comparing with last nights API inventories we can easily close above $60 a barrel. In the overnight electronic session the August Crude Oil is currently trading at 5920 which is 137 points higher. The trading range has been 5933 to 5835.
On the Natural Gas front the market is trading a little higher mostly on hotter temperatures forecasted. In the overnight electronic session the August contract is currently trading at 2.440 which is 1 ½ cents higher. The trading range has been 2.458 to 2.416.
Have a Great Trading Day!
Questions? Ask Dan Flynn today at 312-264-4374