The markets are attempting to find a bottom after a start of a tumultuous week following the crazy events in July and aftershocks in August. Asian stocks were mostly higher and the Footsie is playing the teeter-tauter effect wondering what latest headline to believe. Currently U.S. stocks are trading higher, however, trading off the highs currently as we await Factory Orders which hopefully will be stronger than China's Factory Orders yesterday as we are rapidly approaching Friday's monthly Unemployment number.
In the overnight electronic session, September corn is currently trading at 354¾ which is 1¾ of a cent lower. The trading range has been 358 to 354¾ so far. Current weather conditions should help farmers in certain areas get a good jump start on harvesting with the key ingredient in mind of the yields the crop will produce.
On the ethanol front, the September contract is heading into expiration and October will be top step. In the overnight electronic session there were no trades posted in the ethanol complex. The October contract settled at 1.439 and is currently showing one bid at 1.427 and one offer at 1.449. Rollovers with pressures on corn and energy prices should affect today's trade.
On the crude oil front, the October contract is currently trading at 4446, which is 95 points lower at this writing. The trading range has been 4495 to 4386 so far. The bears want to rule the roost which they are being led to slaughter once again by funds. If you look at the big picture in this industry and not try and flush the market as funds tend to do leading to short-covering rallies at a time when ConocoPhillips (NYSE:COP) slashed their global workforce by 10% that paints a picture we should be close to a bottom.
On the natural gas front, the October contract is currently trading at 2.662 which is .040 cents lower. The trading range has been 2.699 to 2.660 so far in the overnight electronic session. Tropical Storm Fred's path at this point looks less than a threat to the Gulf region moving west-northwest at 9 knots and last location posted was 19.5 N by 30.1 W.