Good Morning!
In the overnight electronic session the Grains seem to have a continuation rally with Soybean Oil leading the way. Wheat and Corn were not waiting to follow the lead as the global market with harvesting concerns in South America striking this rally with liquidations in the March contracts. The market also looked and investors were looking to the new administrations take on Renewable Fuel Standards (RFS) which reverberated through a dysfunctual White House for over the last 8 years. In the overnight electronic session the May Corn is currently trading at 376, which is up 2 ¼ cents. The trading range has been 377 to 372 ¼. The complex overall will trade exports and weather in South America.
On the Ethanol front there were no trades posted in the overnight electronic session. Concerns over where regulators being regulated or abandoned at all the must remember they were not voted into office they were appointed. FREE MARKETS FOR FREE MEN sounds like liberators not conquerors. If we abandon these principles we put many industries at risk under shady government deals and not the “Will of the People”. In the overnight electronic session there were no trades posted in the overnight electronic session. The April contract is currently showing 2 bids @ 1.536 and 5 offers @ 1.560 with growing Open Interest at 2.987.
On the Crude Oil front the market is ready to seek a new high after the president speech that we will spend more on the U.S. Military. The market is going to seek a new high pushing resistance at $55 a barrel. In the overnight electronic session the April Crude Oil is currently trading at 5415, which is 14 points higher. The trading range has been 5431 to 5377. Expect this market to get back in balance.
On the Natural Gas front the market continues the dead cat bounce as producers need not to produce at these price levels. As we are closing in on shoulder season and await a hot summer to move more product even at these price levels and close to a bottom. In the overnight electronic session the April contract is currently trading at 2.804 which is 3 cents higher. The trading range has been 2.820 to 2.743.
Have a Great Trading Day