We started the day with Challenger Job cuts coming in at 222.288K versus the previous 56.66K, at 7:30 A.M. we have Export Sales, Jobless Claims and U.S. Trade Balance, at 8:45 A.M. we have the ISM New York Index, 9:00 A.M. Factory Orders, 9:30 A.M. EIA Gas Storage, 4 & 8-Week Bill Auction at 10:30 A.M., Dairy Product Sales at 2:00 P.M. and Total Vehicle Sales at 4:00 P.M.

On the Corn front, we have a slight bounce in the overnight electronic session with the May contract currently trading at 337 ¼ which is 2 ½ cents higher. The trading range has been 338 ¾ to 335. After the USDA report on Tuesday, it looks as though the Funds have changed their tune and want to short this market which will be testing contract lows. This could sway Corn Plantings to even lower acreage with Ethanol demand dropping significantly.

Speaking of Ethanol on that front two federal agencies relaxed regulations in March to allow producers of Fuel ethanol and beverage alcohol help produce hand sanitizer to combat the ongoing COVID-19 outbreak. Several ethanol producers are already taking action to help much-needed product. While U.S. Ethanol production was down 16% from last week and last year and Stocks up 7% and margins remaining negative there will be more producers forced to shut down and the &5 in stocks will evaporate quickly. In the overnight electronic session, the May Ethanol is currently trading at 0.855 which is .019 higher. The trading range has been 0.855 to 0.850. The market is currently showing 3 bids @ 0.851 and 2 offers @ 0.876 with 2 contracts traded and Open Interest at 283 contracts.

On the Crude Oil contango is the name of the game. There are a lot of oil tankers in the high seas filled with nowhere to go due to demand destruction caused by the coronavirus. As Wimpy would say on the Popeye cartoons, “I’d gladly pay you on Tuesday for a hamburger today,”, That means the U.S. will fill up the Strategic Petroleum Reserves (SPR) and China will be buying with both hands at a deep discount. Not well-played Prince Abdulaziz bin Salman bin Abdulaziz al-Saud. In the overnight electronic session, the May Crude Oil is currently trading at 2196 which is 165 points higher. The trading range has been 2260 to 2076.

On the Natural gas front, the bears are saying the bottom is not quite in yet. We have the Thomson Reuters EIA Gas Storage poll with 16 analysts participating with withdrawal estimates ranging from -31bcf to -7 bcf with the median -26bcf. This compares to the one-year build of 25bcf and the five-year average build of 6bcf. In the overnight electronic session the May contract is currently trading at 1.547 which is 4 cents lower. The trading range has been 1.624 to 1.538.