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 Personal Income MoM (Aug), Personal Spending MoM (Aug), PCE Price Index MoM & YoY (AUG), and Core Price Index MoM & YoY at 7:30 A.M., Market Manufacturing PMI Final (Sep) at 8:45 A.M., ISM Manufacturing OMI (Sep) Construction Spending MoM (Aug), Michigan Consumer Expectations Final (Sep), Michigan Consumer Expectations Final (Sep), Michigan Consumer Sentiment Final (Sep), Michigan Inflation Expectations Final (Sep), Michigan 5-Year Inflation Expectations Final (Sep), ISM Manufacturing Prices (Sep), ISM Manufacturing New Orders (Sep) and ISM Manufacturing Employment at 9:00 A.M., NY Fed Treasury Purchases 2.25 to 4.5 yrs. at 10:20 A.M., Fed Harker Speech, Baker Hughes Oil & Total Rig Count at 12:00 P.M., Cotton System, Fats & Oils and Grain Crushings at 2:00 P.M.
On the Hurricane Front Sam is moving north-northwest at 15 knots and the cone has it moving northwest missing the North American continent. Tropical Storm Victor is moving northwest at 13 knots and the cone has it’s movement right in the middle of the Atlantic.
On the Corn Front the market was lower in yesterday’s action with the USDA reports showing domestic corn basis is still trending higher but talk of yields from Illinois may be lower than expected and Iowa yields may be higher even with a hot and dry summer they faced. Those two points had the market trading peaks and valleys but the market did not have a weak close. In the overnight electronic session the December corn is currently trading at 538 which is 1 ¼ of a cent higher. The trading range has been 541 to 532.
On the Ethanol Front there is even more talk of ethanol blended gas is lowering carbon emissions. Otherwise kind of a no news day. There were no trades or Open Interest in the ethanol futures markets.
On the Crude Oil Front the market has been all over the board. China is telling energy companies to conserve energy at any cost which should be a sign of another big bull run in this sector once again in this feast or famine industry. In the overnight electronic session the November crude oil is currently trading at 7501 which is 2 tics lower. The trading range has been 7557 to 7423. We may get another pop after the rig counts.
On the Natural Gas Front this market had quite a range correcting and giving back current gains. I still remain overly long-term bullish. In the overnight electronic session the November natural gas is currently trading at 5.672 which is 0.195 lower. The trading range has been 6.010 to 5.621 with another roller coaster ride.
Have A Great Trading Day!