On the Corn front the market continues to roll as we now have more concern in rain saturated farm land that now may have to low levels of nitrogen this market is hinting volatility. However, the fundamentals show a different story than a sustained lower trading market. Another sign of higher prices is the fear of upcoming inflation with Bidenomics. In the overnight electronic session the December corn is currently trading at 559 ¾ which is 7 ¾ cents higher. The trading range has been 567 ½ to 559.
On the Ethanol front Jerry Perkins with Successful Farming reports, “WE shall Overcome”, Renewable Fuels Association (RFA) President and CEO Geoff Cooper said that, “despite the two disappointing court decisions, the ethanol industry is still in a stronger position than we’ve been in for years. Our outlook is bright , despite what headlines or opponents would like us to believe.”
On the Crude Oil Front the market is trading lower on the OPEC+ agreement initially. It is nice to see the agreement is finally in the rear view mirror. The agreement increases production 400,000 barrels per day on a monthly basis from August As it moves to phase-out production cuts of 5.8 million barrels per day by September 2022. This could set a buying opportunity ahead of tomorrow’s API Energy Stocks.
On the Natural Gas Front the market is back to rolling after three straight sessions of trading lower. Traders are concerned with levels of stockpiles ahead of withdrawal season. Bottlenecks in pipelines has producers concerned as well.
In the overnight electronic session the August Natural Gas is currently trading at 3.762 which is .088 cents higher. The trading range has been 3.780 to 368.6.
Have A Great Trading Day!
Dan Flynn -