Monday Morning Summer Doldrums. The Corn & Ethanol Report

We started off the week with JOLT’s Job Openings at 9:00 A.M., Fed Bostic Speech at 9:10 A.M., NY Fed Treasury Purchases 10 to 22.5 yrs. at 9:30 A.M., Consumer Inflation Expectations and Export Inspections at 10:00 A.M., Fed Barkin Speech, 3-Month, and 6-Month Bill Auction at 10:30 A.M., and Crop Progress at 3:00 P.M.

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On the Corn front, the market is trying to find a direction as the overnight market had choppy trades with a 7 ¼ cent trading range. This morning the Export Inspections and Crop Progress later this afternoon could shed some light of where we are supposed to be headed. But the key will be Thursday Crop Production USDA Supply/Demand and WASDE numbers. Most farmers and traders expect lower yields and extremely weak in certain areas of the Corn Belt. In the overnight electronic session the December corn is currently trading at 554 ½ which is 2 cents lower. The trading range has been 558 to 550 ¾.

On the Ethanol front, it is looking more and more like ethanol may be the fuel of the future. A massive behemoth called “Binzilla” is more than a record-setting structure to hold corn at Golden Grain Energy. Billed as the world’s largest grain bin and a can’t-miss landmark on the southside of Mason City, Iowa. It symbolizes confidence in the ethanol industry by the plant’s leadership. There were no trades posted in the overnight electronic session. The September ethanol settled at 2.220 and is currently showing no market and zero Open Interest.

On the Crude Oil front, the market slid 4% on China virus curbs, stronger U.S. dollar, and pretty much technicals. Tomorrow’s API Energy Stocks could change marker psychology if we show draws. In the overnight electronic session the September crude oil is currently trading at 6551 which is 277 points lower. The trading range has been 6790 to 6515.

On the Natural Gas front, the market is coming in weaker like the rest of the energy complex. This market again can attribute the weakness also, with a higher U.S. dollar, weak stock market, and technical selling. In the overnight electronic session the September natural gas is currently trading at 4.110 which is 3 cents lower. The trading range has been 4.185 to 4.093.

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