About The Author

Daniel Flynn

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 kickoff the day with Michigan Consumer Sentiment Prel (Feb), Fed Monetary Policy Report, Michigan 5-Year Inflation Expectations Prel (Feb),Michigan Current Conditions Prel (Feb), and Michigan Inflation Expectations Prel (Feb) at 9:00 A.M., and Baker Hughes Oil & Total Rig Count at 12:00 P.M.

On the Corn Front the Fed gives a quote, like an emergency rate hike after the CPI was just what the markets did not need. We seem to be on the rebound in the early going. Talk of lower South America corn supply, uncertainty over the future of Black Sea exports and fund buying offered support to the market in the early going, but faded fast with the Fed’s Bullard was quoted possible rate hike before the next FOMC meeting and the markets did not like it. In the overnight electronic session the March corn is currently trading at 647 ¼ which is 5 ½ cents higher. The trading range has been 648 ½ to 637 ¾.

On the Ethanol Front a startup company in Lincoln, Nebraska Clear Flame Engine Technologies passed a road test that allows diesel trucks to run on straight renewable fuels such as ethanol. In October 2021 Clear Flame announced it had received about a $17 million investment from Bill Gates -owned Breakthrough Energy Ventures, John Deere, commodity trader Mercuria and Clean Energy Ventures. Once again we have no activity in ethanol futures.

On the Crude Oil Front this another market that tanked from the Bullard comment. This morning we punched through $91 a barrel and we could be back on the road to $100 a barrel. We could see some fireworks on the baker Hughes Rig Counts. In the overnight electronic session the March crude oil is currently trading at 9090 which is 102 points higher. The trading range has been 9139 to 8919.

On the Natural Gas Front Europe relies primarily on imports to meet its natural gas needs. Pipeline imports of natural gas into the region come from Russia, Norway, North Africa and Azerbaijan. We can take a stroll down memory lane, like only a little bit over a year ago when the US was energy independent prices were cheap. In the overnight electronic session the March natural gas is currently trading at 3.906 which is 0.053 lower. The trading range has been 4.056 to 3.885.

Dan Flynn

Questions? Ask Dan Flynn today at 312-264-4374