Won’t You Listen To What The FED Said. The Corn & Ethanol Report 06/15/2022

We kickoff the day with MBA Mortgage Market Index (10/Jun), MBA Mortgage Refinance Index (10/Jun), MBA Purchase Index (10/Jun), MBA Mortgage Applications (10/Jun) and MBA 30-Year Mortgage Rate (10/Jun) at 6:00 A.M. Retail Sales MoM & YoY  (May), Import Prices MoM & YoY (May), Export Prices MoM & YoY (May) Retail Sales Ex Autos (May) and Retail Sales Ex Gas/Autos  MoM (May) at 7:30 A.M., Business Inventories MoM (Apr), NAHB Housing Market Index (Jun) and Retail Inventories Ex Autos MoM (Apr) at 9:00 A.M., EIA Energy Stocks at 9:30 A.M., NOPA Crush at 11:00 A.M., Fed Interest Rate Decision, FOMC Economic Projections, Interest Rate Projections -Longer, Interest Projections-2^nd,,Interest Rate Projections -1^st Year and Interest Rate Projection-Current at 1:00 P.M., Fed Press Conference  at 1:30 P.M., Dairy Product Sales at 2 P.M., Net  Long-term TIC Flows (Apr), Overall Net Capital Flows (Apr) and Foreign Bond Investment at 3:00 P.M.

On the Corn Front we closed slightly lower in yesterday’s action. The market continued to see selling and long liquidation on less concerns about summer weather. The USDA rated the US corn crop 72% good to excellent vs. 73% last week and 68% last year. Forecasts of more severe storms that will pack heavy winds and possible tornado activity across the Corn Belt that could create new buying today. In the overnight electronic session the July corn is currently trading at 764 ½ which is 3 ¾ cents lower. The trading range has been 768 ¼ to 762.

On the Ethanol Front E85 which can only be used by Flex Fuel vehicles has been touted that it could save significant dollars for those drivers by switching, even with lower gas milage. E85 fuel national average is $3.65 a gallon, according toE85prices.com. There were no trades or open interest in ethanol futures.

On the Crude Oil Front last night’s API showed builds in crude +0.736M, draws at Cushing -1.067M and gasoline had draws at -2.159M, and builds in distillates at -o.234. Big day for the crude and products with the EIA Energy Stocks, Fed decision an July option expiration. In the overnight electronic session the July crude oil is currently trading at 11844 which is 49 points lower. The trading range has been 11961 to 11699.

On the Natural Gas Front the market is trying to recover from yesterday’s shellacking. The market plummeted when Freeport LNG announced their repairs will be delayed another 90 days. The July natural Gas is currently trading at 7.413 which is 0.224 higher. The trading range has been 7.494 to 7.201.

Have A Great Trading Day!

Dan Flynn

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