USDA & WASDE Reports On Tap! The Corn & Ethanol Report

We started off the gay with CPI, Export Sales, Jobless Claims, and Real Earnings at 7:30 A.M., EIS Gas Storage at 9:30 A.M., 4-Week & 8-Week Bill Auction at 10:30 A.M., and the much awaited USDA & WASDE data, 30-Year Bond Auction at 12:00 P.M., and Monthly Budget Statements at 1:00 P.M.

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On the Corn Front, USGC releases 2020/2021 Harvest Quality Report that showed higher average test weight, lower moisture, and lower damage relative to each quality factors average of the previous five crops according to the U.S. Grains Councils 2020/2021 report. The MAIN ATTRACTION and center of the ring is WASDE and USDA numbers at 11;00 A.M. as we digested the early Export Sales earlier in the day. Which does bring a TRIFECTA with Export Sales, YSDA and WASDE reports all wrapped in one. In the overnight electronic session, the March corn is currently trading at 423 ¾ which is unchanged. The trading range has been 425 to 423 ¾.

On the Ethanol front, ethanol demand hits a 25-week low as supplies remain at a multi-high month-end. Today’s reports should show corn for ethanol use higher and this latest report may be a blur into futures prices trading higher. There were no trades posted in the overnight electronic session. The January contract settled at 1.320 and is currently showing 1 bid @ 1.097 and 2offers @ 1.400 with Open Interest at 32 contracts.

On the Crude Oil Front the market is believing that the vaccines will bring workers back to the work front. THERE HUNGRY! And that will require energy on their levels to work and get to work. With OPEC+ and global cooperation we should see us on the fast track of recovery. In the overnight electronic session the January crude oil is currently trading at 4570 which is 18 points higher. The trading range has been 4588 to 4560.

On the Natural Gas Front, we have the EIA Gas Storage today with breaking weather reports showing a bearish spread in the 2-Week weather forecast, which is pressuring the market at the moment. Dow Jones Analyst expect an 89bcf withdrawal on the number. Their estimates ranged from a decrease of 82bcf to 99bcf, compared to the one-year decrease of 57bcf and the five-year average of 61%. In the overnight electronic session, the January natural gas is currently trading at 2.393 which is 0.49 lower. The Trading range has been 2.447 to 2.381.

Disclaimer: A Subsidiary of Price Holdings, Inc. – a Diversified Financial Services Firm. Member NIBA, NFA Past results are not necessarily indicative of future results. Investing in ...

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