Good Morning!
We kickoff Super Bowl Monday with Markit Manufacturing PMI Final for Jan at 8:45 A.M., Construction Spending and ISM Manufacturing Index at 9:00 A.M., Export Inspections at 10:00 A.M., {{|3}} and 6-Month Bill Auction at 10:30 A.M., Loan Officer Survey at 1:00 P.M., Cotton System, Fats & Oils, and Grain Crushings at 2:00 P.M., FED Bostic Speech at 3:30 P.M. and finally Total Vehicle Sales in January at 5:00 P.M. The (SS:Shanghai Exchange ) reopened after being on hiatus for the Lunar New Year and the market reopened and closed nearly 8% lower catching up on the drag the coronavirus has put on the global markets. The silver lining was the U.S. market did not fall apart because we may have already priced in the damage we are aware of at the moment. Other news is that the Saudi’s are weighing larger oil cuts in response to the corona virus demand destruction. Whispers are they are talking about a million barrels a day, but the Russians and Iran are reluctant to attend the emergency oil producers’ meeting. On the Corn front the Illinois Corn Farmers went on offense posting a 30-second add during the Super Bowl. The commercial told us that everything that can be made with Crude Oil could also be made from Corn Oil, like bioplastics, food packaging, medicines and award-winning whiskeys, which was a charm during the big game. This story was reported by AGRINEWS. In the overnight electronic session the March Corn is currently trading at 379 ½, which is 1 ¾ of a cent lower. The trading range has been 382 to 378 ¾.
On the Ethanol front the Illinois Farmer commercial also pointed out Ethanol could also be derived from Corn. In the overnight electronic session the March contract posted a trade at 1.360 which is .010 higher. The market is currently showing 1 bid @ 1.339 and 1 offer @ 1.367 with 1 contract traded and Open Interest at 456 contracts.
On the Crude Oil front the emergency OPEC production cuts are adding support to the market for the moment. Also China stimulated their economy, which also added support as they had to make a move to calm their marketplace. In the overnight electronic session the March Crude Oil is currently trading at 5133, which is 23 points lower. The trading range has been 5197 to 5042.
On the Natural Gas front the market is trading higher for now. If we realize the warm February that weather modules are forecasting we could see the 150 to 120 level in short order. In the overnight electronic session the March Natural Gas is currently trading at 1.861, which is 2 cents higher. The trading range has been 1.880 to 1.847.
Have a Great Trading Day!