Good Morning!
Monday's Grain rally is all but gone. Brazil’s harvest is way ahead of schedule versus last year so is plantings secondary crops, which is further pressuring the market. In the overnight electronic session the March corn is currently trading at 360 ½, which is 1 ½ cent lower. Another tight trading range with the high at 362 and the low at 360 ½. The market may take another beating today with the weather forecasted today we could see another light volume day.
On the ethanol front the April contract posted a trade at 1.430 which is .004 of a cent lower in very quiet trade which are closely following crude oil & Gasoline prices. On the crude-oil front it was slammed as well with comments from Ali al-Naimi comments of no production cuts and the weekly API inventories showing a bearish build of 7.1 million barrels. There are fears from traders that the EIA will have more of the same results in its data. In the overnight electronic session the April crude oil is currently trading at 3087 which is 100 points lower. The trading range has been 3153 to 3068 in the early going.
On the natural gas front we will be shifting our focus to the April contract as the March expires tomorrow. We could see a price spike with Old Man Winter giving us another dose of blizzard conditions in a mostly mild winter this year so far. In the overnight electronic session the April contract is currently trading at 1.841 which is .012 of a cent higher. The trading range has been 1.845 to 1.804.
Have a Great Trading Day!