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 NIFB Business Optimism Index (Sep) at 5:00 A.M., Redbook YOY (09/Oct) at 755 A.M., JOLT’s Job Openings (Aug) at 9:00 A.M., NY Fed Treasury Purchases 10 to 22.5 yrs. at 9:30 A.M., Consumer Inflation Expectations (Sep) and Export Inspections at 10:00 A.M., Fed Clarida Speech at 10:15 A.M., 3-Year Note and 6-Month Bill Auction at 10:30 A.M., Crop Production USDAY Supply/Demand and WASDE reports at 11:00 A.m., Fed Bostic Speech at 11:30 A.M., 10-Year Note and 3-Month Bill Auction at 12:00 P.M., Crop Progress at 3:00 P.M., and World Bank/IMF Annual Meeting .
On the Corn Front we have plenty of grain reports to balance out trade, with the WASDE the frontrunner in most traders eyes. There should be some shake & bake which could get the bulls back in town, In the overnight electronic session the December corn is currently trading at 530 ¾ which is 2 ¼ cents lower. The trading range has been 533 to 530 ½.
On the Ethanol Front the USDA‘s Commodity Credit Corp. announced on Sept. 30th that it does not expect to purchase and sell sugar under the Feedstock Flexibility (FFP) for crop for year 2021. Which runs from Oct 1, 201 Sept 30th 2022. The CCC is required to announce quarterly estimates of sugar to be purchased for the FFP based on crop and consumption forecasts. Still no Open Interest to speak of in the futures market.
On the Crude Oil Front we are closing in on a three-year high as demand is surging. Brent crude rose $1.26 to settle at 8365. The high was 8460, its highest since October 2018. The API’s will be out tomorrow as we celebrated the Columbus Day holiday yesterday. In the overnight electronic session the November crude oil is currently trading at 8019 which is 33 points lower. The trading range has been 8115 to 8000 so far.
On the Natural Gas Front volatility remains the name of the game as I expect higher trade as we move forward with a great bull run. However, we shall see multiple peaks and valleys before we get to our destination. In the overnight electronic session the November natural gas is currently trading at 5.233 which is 0.112 lower. The trading range has been 5.437 to 5.168.
Have A Great Trading Day!