Good Morning!
A mixed Asian market last night only slumps in the end and has the global markets on edge, once again trading on fear. On this Fat Tuesday we have plenty of earnings to decipher and reports today. This morning at 7:30 A.M. we have Wholesale Trade, at 11:00 A.M. the monthly Crop Production USDA Supply/Demand and at 3:30 P.M. the weekly API Energy Stocks.
In the overnight electronic session the March corn is currently trading at 360 ¼, which is 2 cents lower. The trading has been 362 ¾ to 360 ¼. Good weather in South America has been a constant to pressure the market. Today’s report and surprisingly better export data may boost the market in the trading session.
On the Ethanol front there were no trades posted in the overnight electronic session. The March contract settled at 1.423 and is showing 1 bid @ 1.416 and 1 offer @ 1.425.
On the Crude Oil front all the talk is about the glut and running out of storage capacity. The funny thing is the winds of change and capital spending cuts will not move companies to move building more storage tanks when they are cutting production and exploration in record volumes and we will not be able to fill the void when the surplus of oil diminishes like we did in 2014 and early 2015. In the overnight electronic session the March contract is currently trading at 2977, which is 8 points higher. The trading range has been 3061 to 2959 so far. We could see builds in Crude with today’s weekly API data but look for draws in Products.
On the Natural Gas front the March contract is currently trading at 2.097, which .043 cents lower in the overnight session. The trading range has been 2.131 to 2.065 so far. We see continued profit taking from yesterday’s gains.
Have a Great Trading Day!