No Export Inspections Or Crop Progress Sold Off Grains Yesterday. The Corn & Ethanol Report

We started off the day with NFIB Business Optimism Index (SEP) at 5:00 A.M., Core Inflation Rate YoY & MoM (SEP), Inflation Rate YoY & MoM (SEP), CPI and Real Earnings(SEP)  at 7:30 A.M., IBD/TIPP Economic Optimism (OCT) at 9:00 A.M., Consumer Inflation Expectations (SEP), and Export Inspections at 10:00 A.M., 3-Month and 6-Month Bill Auction at 10:30 A.M., 119-Day Bill Auction and 43-Day Bill Auction at 12:00 P.M., and the IMF Virtual Annual Meeting.

On the Hurricane Front, we are still not out of the woods yet after Delta. There is another Disturbance and wind indicates with a tropical wave located about 700 miles east of the Winward Islands and has become better defined. Movement is west-northwestward at 15 mph and has a 30% chance to form into a cyclone in the next 48 hours.

On the Corn front, with the Federal holiday Antifa ran out of Columbus statues to bring down so they went after Honest Abe and Teddy Roosevelt.But seriously, the market sold off with both morning or afternoon reports on exports and harvest which a bullish market needs to be stoked and continuously fed bullish news to carryon. That did not happen here, but we should see the numbers today and we may see traders come in with breath of fresh air and pick up where they left off last week. In the overnight electronic session, the grains are forging a comeback and when the numbers come out, we may see more bargain basement buyers. The December corn is currently trading at 390 ¾ which is 1 ¾ of a cent higher. The trading range has been 392 ¾ to 388.

On the Ethanol front, COVID-19 brought a collapse in fuel demand across the U.S. forcing many ethanol facilities to either slow or halt production all together. More facilities are switching their focus to the hand sanitizer market as more than a temporary band-aid as we continue to cope and attempt to defeat the pandemic. These facilities are following companies like Pacific Ethanol, Green Plains, and Hightower Ethanol in boosting capacity to produce high-grade alcohol and take profits in this sector following those companies lead. There were no trades posted in the overnight electronic session. The November ethanol settled at 1.400 and is currently showing 1 bid @ 1.376 and 2 offer offers @ 1.460 with Open Interest at 71 contracts.

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