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 Advanced Durable Goods, Export Sales and Jobless Claims at 7;30 A.M., Markit Composite, Manufacturing and Services PMI Flash at 8:45 A.M., New Home Sales at 9:00 A.M., EIA Gas Storage at 9:30 A.M., Kansas City FED Manufacturing Index at 10:00 A.M., $ & *- Week Bill Auction at 10:30 A.M., &-Year Note Auction at 12:00 P.M. Monthly Budget Statement at 1:00 P.M. and FED Williams Speech at 6:00 P.M. On the Corn front forecast for a hard freeze and snows will further test the farmers will during this harvest. And let’s face it folks Mother Nature has not been good to the farmer this whole year. In the overnight electronic session the December Corn is currently trading at 389 which is 1 ¼ of a cent higher. The trading range has been 390 ¾ to 388 ¼. Technically this market needs to challenge 397 resistance and shoot for psychological resistance at 400. A close above that level may induce new buying.
On the Ethanol front, Iowa Gov. Kim Reynolds is standing by the deal reached with President Trump to address farm state lawmakers’ concern over Ethanol policy. There were no trades posted in the overnight electronic session. The November contract settled at 1.431. The market is currently showing 1 bid @ 1.425 and 1 offer @ 1.495 with Open Interest dropping to 212 contracts.
On the Crude Oil front, the market is still playing possum, until reality sets in with tight supplies in Distillates and Gasoline. With the coming cold snap, which if last for a long period of time we will see a spike in the market as demand will even be higher with shortages. In the overnight electronic session the December Crude Oil is currently trading at 5581 which is down 16 points. The trading range has been 5598 to 5541.
On the Natural Gas front, we have the weekly EIA Gas Storage today and were expecting builds of 88 bcf. The market is watching the coming cold weather. In te overnight electronic session the November Natural Gas is currently trading at 2.302 which is 2 cents higher. The trading range has been 2.324 to 2.278.
Have a Great Trading Day!
Questions? Ask Dan Flynn today at 312-264-4374