We started the day with MBA Mortgage Applications (18/DEC) and MBA 30-Year Mortgage Rate (18/DEC) at 6:00 A.M., Export Sales, Personal Income MoM (NOV), Personal Spending MoM (NOV), Durable Goods Orders MoM (NOV), Durable Goods Orders Ex Transports MoM (NOV), Initial Jobless Claims YoY (19/DEC), Jobless Claims 4-Week Average (19/DEC), PCE Price Index YoY (NOV), PCE Price Index MoM (NOV), Durable Goods Orders Ex Defense MoM (NOV), Continuing Jobless Claims (12/DEC), Core Price Index YoY (NOV), and Core Price Index at MoM (NOV) at 7:30 A.M., House Price Index Mom (OCT), House Price Index YoY (NOV) at 8:00 A.M., Michigan Consumer Expectations Final (DEC), Michigan 5-Year inflation ExpectationsFinal (DEC), Michigan Consumer Sentiment Final (DEC) Michigan Inflation Expectations Final (DEC), Michigan Current Conditions Final (DEC), New Home Sales MoM (NOV)< and New Home Sales (NOV) at 9:00 A.M., EIA Energy Stocks at 9:30 A.M., 105-Day and 154- Day Bill Auction at 10:30 A.M., EIA Gas Storage at 11:00 A.M., 2-Year FRN Auction, Baker Hughes Oil and Total Rig Count at 12:00 P.M., Dairy Product Sales and Hogs & Pigs at 22:00 P.M.

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On the Corn front, the market traded higher yesterday on continued talk of South America’s crops needing much rain and La Nina may still push down on estimates of the crop that can yield to exports. U.S. exports remain strong heading into the 2021 export season. The stimulus package will add $13 billion of new aid to the U.S. agriculture sector. China's corn futures hit a new record high with a strike in Argentina delaying over 100 vessels with exports of 900 mt of corn. In the overnight electronic session, the March corn is currently trading at 445 ¾ which is 2 ¼ cents higher. The trading range has been 446 to 441 ½.

On the Ethanol front, producers will receive more tax benefits as part of the stimulus. And the market is poised into cashing in on higher blends of ethanol and biodiesel which ethanol stocks are large and ready to roll out production as the market gears of for an explosion of carbon dioxide and the solid virgin of dry ice which all hope will rebound the market in 2021. There were no trades posted in the overnight electronic session. The January ethanol settled at 1.325 and is currently showing 1 bid @ 1.100 and 1 offer @ 1.400 with Open Interest at 32 contracts.

On the Crude Oil front, the market is showing resiliency with the EU pressing to lift the ban of travel to and from the U.K. in the latest news of coronavirus. Last night’s API Energy Stocks showed crude +2.70M barrels, Cushing +0.341M, gasoline was down -0.224 M and distillates had builds of +1.03M. The market is watching events unfold in the U.F and European Union regarding future lockdowns and traders are also hedging their bets on OPEC+ production that Russia is saying they want to boost production in February. In the overnight electronic session, the January crude oil is currently trading at 4709 which is 7 points higher. The trading range has been 4722 to 4616.

On the Natural Gas front, the market is easing off previous gains with a little profit-taking before the EIA Gas Storage data as we move closer to the New Year. Just a little window dressing to square up certain positions as we trade through the light volume. In the overnight electronic session, the January natural gas is currently trading at 2.734 which is .046 lower. The trading range has been 2.793 to 2.725.