Fed Decision On Interest Rates Today; The Corn & Ethanol Report

We started off the day with Challenger Job Cuts (OCT), Initial Jobless Claims (31/OCT), Jobless Claims 4-Week Average (31/OCT), Unit Labour Cost QoQ Prel (Q3) Nonfarm productivity QoQ Prel (Q3), Continuing Jobless Claims (24/OCT) at 7:30 A.M., EIA Natural Gas Stocks (30/OCT) at 9:30 A.M., 4-Week Bill & 8-Week Bill Auction at 10:30 A.M., we are waiting on the Fed Interest Rate Decision at 1.00 P.M., Fed Press Conference at 1:30 P.M., and Dairy Products at 2:00 P.M.

On the Hurricane front, Tropical Storm Eta is causing catastrophic Flash Flooding, River flooding along landslides. Eta is forecasted to move back in the northwestern Caribbean Sea and increasing risk to portions of Cuba, southern Florida, The Florida Keyes, Panhandle, and other Gulf Coast states.

On the Corn front, election victor or no Presidential victor, the market understands there will be another wave of Chinese and other countries buying U.S. Ag products, energies, and other commodities. In the Asian market coming in on Wednesday the corn and wheat dipped only to a turnaround in yesterday’s U.S.  trading session. The talk of demand for exports is real and something the U.S. farmer has not seen in some time. Meaning fair trade deals. Traders, farmers, and boots on the ground will be watching the Exports Sales this morning. In the overnight electronic session, the December corn is currently trading at 409 ¾ which is 4 ½ cents higher. The trading range has been 411 ¾ to 404.

On the Ethanol front, we had growth in production and domestic supply inched higher according to the EIA data yesterday. U.S. ethanol imports averaged 29,000 barrels a day, a seven-week high, and the 11th out of the last 15 weeks with recorded imports. Still waiting to hear what type of volume numbers the Chinese has set their sights to in the U.S. ethanol market. The next corn for ethanol use will be the November 10th USDA reports. There were no trades posted in the overnight electronic session. The December ethanol settled at 1.350 and the market is currently showing 2 bids @ 1.350 and 3 offers @ 1.479 with Open Interest at 44 contracts.

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