What the USDA Told Us. The Corn & Ethanol Report 02/09/18

Argentina’s Corn production, Brazil’s Corn production and U.S. expected production came really as no surprise with yesterday’s Crop Production USDA Supply/Demand data. The Grain complex did the typical shake & bake after the numbers were released and seems docile today after the storm. In the overnight electronic session the March Corn is currently trading at 364 ¼ which is 1 ½ cents lower. The trading range has been 365 ¼ to 363. Today’s session is starting off in hem-and-haw mode.

On the Ethanol front the March contract is currently trading at 1.415 which is unchanged. The trading range has been 1.417 to1.413. 20 contracts traded so far and Open Interest is at 1,087 contracts. The market is currently showing 2 bids @ 1.408 and 5 offers 1.410.

On the Crude Oil front the bears in the marketplace are focused on taking out psychological support at $60 a barrel. With an edgy Stock Market and a higher U.S. dollar they will want to achieve this technical objective. The fundamentals tell me otherwise but when there is fear in place all markets tend to overreact. In the overnight electronic session the March Crude Oil is currently trading at 6024 which is 91 points lower. The trading range has been 6077 to 6007.

On the Natural Gas front the market is not buying into the winter storm we are realizing and with temperatures next week pegged to be above freezing after the snow buyers are few and far between. In the overnight electronic session the March contract is currently trading at 2.627 which is 7 cents lower. The trading range has been 2.704 to2.617.

Have a Great Trading Day!
Dan Flynn
Questions? Ask Dan Flynn today at 312-264-4374

View The Corn & Ethanol Report Archives • www.pricegroup.com

A Subsidiary of Price Holdings, Inc. – a Diversified Financial Services Firm. Member NIBA, NFA

Past results are not necessarily indicative of future results. Investing in futures can involve substantial risk of loss & is not suitable for everyone. Trading foreign exchange also involves a high degree of risk. The leverage created by trading on margin can work against you as well as for you, and losses can exceed your entire investment. Before opening an account and trading, you should seek advice from your advisors as appropriate to ensure that you understand the risks and can withstand the losses.

The information and data in this report were obtained from sources considered reliable. Their accuracy or completeness is not guaranteed and the giving of the same is not to be deemed as an offer or solicitation on our part with respect to the sale or purchase of any securities or futures. The Price Futures Group, its officers, directors, employees, and brokers may in the normal course of business have positions, which may or may not agree with the opinions expressed in this report. Any decision to purchase or sell as a result of the opinions expressed in this report will be the full responsibility of the person authorizing such transaction. Reproduction and/or distribution of any portion of this report are strictly prohibited without the written permission of the author. Trading in futures contracts, options on futures contracts, and forward contracts is not suitable for all investors and involves substantial risks. ©2018