image source

Yesterday Groundhog Day the movie was a day early yesterday as the Fed raised ¼ and announced to expect more hikes in the future. The Groundhog saw his shadow and we expect six more weeks of winter.

We kicked off today with Challenger Job Cuts at 6:00 A.M., Export Sales, Initial Jobless Claims, Labour Costs QoQ Prel, Nonfarm Productivity QoQ Prel, Jobless Claims 4-Week Average and Continuing Jobless Claims at 7:30 A.M., Factory Orders MoM and Factory Orders ex Transportation at 9:00 A.M., EIA Natural Gas Storage at 9:30 A.M., 4-Week & 8-Week Bill Auction at 10:30 A.M., and Total Vehicle Sales.

On the Corn Front US total December corn consumption falls 11% year-on-year. US total corn consumed for alcohol and other uses totaled 474 million bushels (12.04 million mt) in December 2022. The UA Air Force deemed a Chines corn mill in North Dakota a “significant threat to National Security.” Infeng Group and MSG a xanthan gum manufacturing company based in Shandong Province, China, previously bought 370 acres of farmland in Grand Forks through its American subsidiary. The city council approved the company’s $700 million proposal to build the mill last year, citing economic development success. However, thousands of residents have since expressed their disapproval of the mill. In August 2022, at least 5,000 residents signed a petition that sought to prevent the mills development. Mayor Brandon Bochenski issued a statement asserting that the proposed mill, “should be stopped.” In the overnight electronic session the March corn is currently trading at 682 which is 1 cent higher. The trading range has been 683 ½ to 679 ¾.

On the Ethanol Front production climbs higher as stocks fall. The EIA said production averaged 1.028 million barrels a day, up 16,000, and the fourth week in a row with a gain as two important indicators of demand showed improvement. The ethanol supply fell 635,000 barrels from the recent multi-month highs to 24.442 million barrels, which was 1.412 million below a year ago. The USDA’s next corn for ethanol consumption use is out February 8^th. There were no trades in ethanol futures.

Traders and analysts are expecting draws on natural gas at 132 billion cubic feet.

More By This Author:

Fed Decision & Groundhog Day Coming to a Theatre Near You. The Corn & Ethanol Report
FOMC Meetings Begin. The Corn & Ethanol Report
Corn Rallies On No Fresh News. The Corn & Ethanol Report