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 Redbook YoY (20/Nov) at7:55 A.M., Market Manufacturing PMI Flash (Nov), Market Services PMI Flash (Nov) and Market Composite Flash at 8:45 A.M., Richmond Fed Manufacturing Index (Nov), Richmond Manufacturing Index (Nov) and Richmond Fed Services Index (Nov) at 9:00 A.M., 2-Year FRN Auction and 35-Day Bill Auction at 10:30 A.M., 7-Year Note Auction at 12;00 P.M., API Energy Stocks at 3:30 P.M. and President Biden Speech.
On the Corn Front the futures traded higher yesterday on fund buying and possibly will add more long positions, U.S. cash domestic basis and higher inflation which has the funds attention. We are close to key resistance at 580-586. In the overnight electronic session the December corn is currently trading at 574 which is 2 ¾ cents lower. The trading range has been 576 ½ to 573 ¾.
On the Ethanol Front Jerry Perkins with Successful Farming reports happy days are here again, for the ethanol industry with domestic ethanol demand expected to remain high and profits nearing the high-water mark set in 2014. The ethanol futures are still showing 0 open interest.
On the Crude Oil Front the U.S. announced it will release 50 million barrels of crude from the Strategic Petroleum Reserve (SPR) in coordination with energy-consuming countries such as China and Japan. We could see more see-saw action as further developments become clear. In the overnight electronic session the January crude oil is currently trading at 7691 which is 16 points higher. The trading range has been 7699 to 7530.
On the Natural Gas Front the yo-yo market continues. We will have the EIA Gas Storage tomorrow because Thursday we will be celebrating Thanksgiving. In the overnight electronic session the December natural gas is currently trading at 4.967 which is 0.178 higher. The trading range has been 5.030 to 4.757.
Have A Great Trading Day!