Crop Progress Seen Unchanged
We kickoff the morning with Business Inventories and Retail Sales at 7:30 A.M., NOPA Crush at 11:00 A.M and API Energy Stocks at 3:30 P.M. The weekly USDA Crop Progress report showed corn & soybeans unchanged from a week ago, according to an average of estimates but 10 analyst polled by Reuters yesterday which corn held a firm 60% good to excellent rating. The weather forecast for rains and hot humid weather which is ideal growing conditions for corn which could pressure the market further before we see any short-covering rally ahead of harvest pressure. In the overnight electronic session the September corn is currently trading at 358 ½ which is 4 ¼ cents lower. The trading range has been 361 to 358.
On the ethanol front the September contract is currently trading at 1.578 which is .002 of a cent lower. The trading range has been 1.580 to 1.578. The market is showing 1 bid @ 1.566 and 2 offers with 3 contracts traded and declining Open Interest of 690 contracts.
On the crude oil we sold off yesterday on light volume and hit stops with no real headlines over the weekend. Today’s API Energy Stocks should show further draws with the many Tropical Disturbances the past couple of weeks in the Atlantic near the Gulf of Mexico region. In the overnight electronic session the September Crude Oil is currently trading at 4729 which is 30 points lower. The trading range has been 4777 to 4720.
On the natural gas front Mother Nature continues to toy with this market as she has in all of 2017. Now that Hurricane Gert is headed up the Eastern Seaboard, there are two other Tropical Disturbances lurking in the Atlantic in this active hurricane season. In the overnight electronic session the September Natural Gas is currently trading at 2.944 which is 1 ½ of a cent lower. The trading range has been 2.972 to 2.932.