Good Morning!
We kickoff the day with Export Sales and Jobless Claims at 7:30 A.M., EIA Gas Storage at 9:30 A.M. and Consumer Credit at 2:00 P.M. On the Corn front the U.S. Corn crop rating for June was a record high with expectations of a record yield. It is still early in the game and the three things investors should key on is acreage, South America yields and weather here in the U.S. We must remember it is not what you plant but what you grow and with U.S. Corn acreage down yields will be huge come harvest time. In the overnight electronic session the July Corn is currently trading at 381 ½, which is 3 ¼ cents higher. The trading range has been 382 to 379.
On the Ethanol front the August contract is picking up in activity while the July contract traded 20 contracts in the overnight electronic session. The July is currently trading at 1.434, which is unchanged. The trading range has been 1.436 to 1.360 with Open Interest declining to 873 contracts. The market is currently showing 1 bid @ 1.436 and 1 offer @ 1.442.
On the Crude Oil front the technical damage could be over as key support at 6425 held in yesterday’s action after a surprise build in Crude Oil in the weekly EIA Energy Stocks. The market recovered later in the trading session and is continuing to see buying come in. We will be trading headlines and with Russia and the Saudi’s talk about raising production they realized that would be a double edged sword. In the overnight electronic session the July Crude Oil is currently trading at 6533, which is 60 points higher. The trading range has been 6550 to 6481.
On the Natural Gas front we have the weekly EIA Gas Storage data. The Thomson Reuters poll with 17 analysts participating showed injection builds anywhere from 83 bcf to 98 bcf with the median at 90 bcf. In the overnight electronic session the July Natural Gas is currently trading at 2.971, which is 7 ½ cents higher. The trading range has been 2.987 to 2.896.
Have a Great Trading Day!