March Madness. The Corn & Ethanol Report 03/02/2022

We start off the day with MBA Mortgage Market Index (25/Feb), MBA Mortgage Refinance Index (25/Feb), MBA Purchase Index (25/Feb), MBA Mortgage Applications (25/Feb) and MBA 30-Year Mortgage Rate at 6:00 A.M., ADP Employment Change (Feb) at 7:15 A.M., Fed Bullard Speech at 8:30 A.M., Fed Chair Powell testimony at 9:00 A.M., EIA Energy Stocks at 9:30 A.M., Fed Beige Book at 1:00 P.M., and Dairy product Sales at 2:00 P.M.

On the Corn Front the market is rocking again with Kyiv and Kharkiv are hanging by a thread.  Russia said peace talks will start today or could be another Putin ruse. In yesterdays action the May corn settled limit up near 725 and the market synthetics were trading near 729 near the close. In the overnight we started a little easier but war drums are beating with Russian paratroopers unconfirmed in Kharkiv. The world is watching how this will play out. The may corn is currently trading at 736 which is 10 ¼ cents higher. The trading range has been 757 to 723.

On the Ethanol Front a group of 16 U.S. states , some corn and soybeans growers associations, The American Fuel And Petrochemical Manufacturers and other are challenging the U.S. Environmental Agency’s (EPA)on tougher vehicle emission rules. We will keep you posted on this story. There were no trades or open interest in ethanol futures.

On the Crude Oil Front the market is sailing to higher levels and looks strong enough to test all-time highs Unless we change the energy policy and reopen Anwar and the Keystone XL we will import Russia oil that should be ours from right here, instead were funding Vladimir’s war machine. We need immediate action as this prompted the bullies to take advantage of world order with our energy independence down the drain. What a waste!  Last nights API showed crude draws -6.1M, Cushing -!M, gasoline -2.5M and distillates builds of +400K. The release of 60 million barrels from the Strategic Petroleum Reserve (SPR) and the market did not bat an eye. In the overnight electronic session the April crude oil is currently trading at 10724 which is 783 points higher. The trading range has been 11251 to 10535.

On the Natural Gas Front this market joined the dance floor as this market is rocking as well. We are all watching events unfold today in the Ukraine. In the overnight electronic session the April natural gas is currently trading at 4.795 which is 0.222 higher. The trading range has been 4.823 to 4.600.

Our Hearts Prayers and Thoughts Are With The Ukraine People

Have A Great Trading Day!

Dan Flynn

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