Good Morning!
After not breaking the milestone of 12 consecutive higher closes only to tie the record the market shattered another milestone by punching through 21,000 in a big way. It seems to me the president’s agenda is getting both detractors and investors onboard the Trump Express as they are seeing progress in our much needed economic recovery.
On the Grain front the market is easing off the gains led by Soybean Oil and Corn. The heavy rains in Brazil continue to put a chokehold on harvest and deliveries to ports. In the overnight electronic session the May Corn is currently trading at 379 ¾, which is 2 ¼ cents lower. The trading range has been 382 ¼ to 379 ¾.
On the Ethanol front there were no trades posted in the overnight electronic session as the March contract nears expiration. The April contract settled at 1.543 and is currently showing 1 bid @ 1.511 and 1 offer @ 1.534.
On the Crude Oil front the market is sifting through headlines out of OPEC that could rage the bulls or bring the bears out of hibernation and I do not mean the Chicago Bears. At the moment the market is at support and my buy zone is 5280 based on the April contract which is currently trading at 5307, which is 76 points lower. The trading range has been 5380 to 5292.
On the Natural Gas front we have the weekly EIA Gas Storage data today. The Thomson Reuters poll of 24 analyst showing injections of injections of 12 bcf to draws of 22 bcf with the median of 4 bcf. This compares to declines of 89 bcf last week, the 1-year of 67 bcf and the five-year average of 132 bcf. The thing to remember producers will cap production at these price levels and weather seems to be the only game changer. In the overnight electronic session the April contract is currently trading at 2.779 which is 2 cents lower. The trading range has been 2.835 to 2.770.
Have a Great Trading Day