We kicked off the day with Redbook YoY at 7:55 A.M., Fed Powell Testimony, IBD/TIPP Economic Optimism, and Wholesale Inventories MoM at 9:00 A.M., NY Fed Treasury Purchases 4.5 to 7 yrs. at 9:30 A.M., 3-Year Note Auction at 12:00 P.M., Consumer Credit Charge at 2:00 P.M., API Energy Stocks, LMI Logistics Managers Index Current, Manheim Used Vehicle Index MoM & YoY at 3:30 P.M.

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On the Corn Front, the market remains in a chop, there is optimism that progress is being made on extending the Black Sea Initiative, Turkey’s Foreign Minister Merlut Cavusoglin said this weekend they are working to extend the UN backed Black Sea Grain Deal. Meanwhile China set its economic growth tp5% in 2023, in 2022 the estimate was at 5.5% but with Covid restrictions the number came in at 3%. Argentina remains hot & dry with better prospects for rain this weekend. Tomorrow’s Crop Production USDA Supply/Demand and WASDE data could keep the bulls at home until the March 31^st Grain Stocks and Prospective Plantings. Better export numbers will also be in the mix as speculative longs monitor the fundamental news. Meanwhile, the US seeks consultation with Mexico over GMO corn restrictions. The US government has escalated its trade dispute and has called for consultations on GM corn for human consumption, and could eventually ban GM corn for animal feed. The US Trade Representative’s Office said the ban could, “threaten to disrupt billions of dollars in agricultural trade.” In the overnight electronic session the May corn is currently trading at 637 ¼ which is a ¼ of a cent higher. The trading range has been 638 ¾ to 636 ½.

On the Ethanol Front, the Mexico news could cut US exports for ethanol and biofuels as other countries are expanding use for US ethanol and biofuels. The EPA will hold a virtual public hearing on March 21 to gather comments on its proposed rule that aims to allow year-round sales of E15 in Illinois, Iowa, Minnesota, Missouri, Nebraska, Ohio, South Dakota and Wisconsin starting in 2024. The agency released the proposed rule on March 1^st in response to a petition filed by several Midwestern governors in April 2022. Typical response from the EPA a bureaucratic agency that appoints people not votes them in. So they can deny blame on the trainwreck in Palestine, Ohio just like they did with toxic waste spill with the Gold King Mine that brought an environmental disaster in the Animas River in Colorado. There were no trades or open interest in ethanol futures.

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