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 MBA Mortgage Market Index (07//Jan) MBA Mortgage Refinance Index (07/Jan), MBA Purchase Index (07/Jan), MBA Mortgage Applications (07/Jan) and MBA 30-Year Mortgage Rate (07/Jan) at g:00 A.M., CPI at 7:30 A.M., EIA Energy Stocks at 9:30 A.M., NY Fed Treasury Purchases 22.5 to 30 yrs. at 10:20 A.M., USDA Supply/Demand Crop Production, WASDE and Winter Seedings at 11:00 A.M., 10-Year Note Auction and Fed Kashkari Speech at 12:00 P.M. Monthly Budget Statement at 1:00 P.M. and Dairy Product Sales at 2:00 P.M.
On the Corn Front we ended up higher yesterday ahead of today’s reports. Two Wild Cards remain in the marketplace which are weather in South America and global import tenders picking up. In the overnight electronic session the March corn is currently trading at 599 ¾ which is 1 ¼ of a cent lower. The trading range has been 602 ½ to 599.
On the Ethanol Front Archer Daniels-Midland Co. said Tuesday that it signed a letter of intent with Wolf Carbon Solutions to build a pipeline that would capture and transport carbon dioxide produced at ADM’s ethanol facilities at Clinton and Cedar Rapids, Iowa. The pipeline is the latest move by agriculture and energy companies to reduce emissions of planet-warming carbon and would test carbon capture technology, a potential powerful tool to fight climate change that is relatively new and unproven. There were no trades or open interest in ethanol futures.
On the Crude Oil Front what can you say, “Higher and Higher Baby, which is not a good sign for consumers paying at the pump and we will soon see $4 a gallon nationally. Last night’s API showed draws in crude -1.077M, Cushing -3.659M, while gasoline had builds +10.86M and distillates +3.03M. In the overnight electronic session the February crude oil is currently trading at 8207 which is 85 points higher. The trading range has been 8227 to 8117. Buckle up your chinstrap at 9:30 this morning!
On the Natural Gas Front the market is rolling with winter weather upon us and shortages expected. Another energy debacle. In the overnight electronic session the February natural gas is currently trading at 4.490 which is 0.341 higher. The trading range has been 4.611 to 4.186.
Have A Great Trading Day!
Dan FlynnQuestions? Ask Dan Flynn today at 312-264-4374