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 Exports Sales, GDP (Q1 ’21) and Jobless Claims at 7:30 A.M., EIA Gas Storage at 9:30 A.M., Fed Quarles Speech at 10:00 A.M., 4-Week and 8-Week Bill Auction at 10:30 A.M., and Fed Williams Speech at 1:00 P.M.
On the Corn Front we continue to see the spot months lead the pack in any rally as volatility continues as the news on plantings broke a few days ago, giving the market a reason to stop going straight up. We do have Export Sales this morning that could wake up the echoes and get this market moving again. In the overnight electronic session, the May corn is currently trading at 692 ¼ which is 6 cents higher. The trading range has been 700 ½ to 681. Tomorrow is First Notice Day on all May Grains.
On the Ethanol Front the main story is the battle of ethanol, refineries, and the Environmental Protection Agency (EPA) place making decisions on small refineries waivers to blend ethanol. Does this appointed arm of the government have the power to regulate who does what, when and where? A lot of industries are waiting for the outcome. There were no trades posted in the overnight electronic session. The May contract settled at 2.330 and is currently showing no market with Open Interest at 20 contracts.
On the Natural Gas Front, we have the EIA Gas Storage this morning and the Thomson Reuters poll with 18 analysts participating estimate injections ranging from 6 to 28 billion cubic feet and the median 64 (bcf). This compares to the one-year injection of 103 (bcf) and the five-year average of 81 (bcf). In the overnight electronic session, the June Natural Gas is currently trading at 2.957 which is .003 lower. The trading range has been 2.959 to 2.935.
Have a Great Trading Day!