Good Morning!
We kickoff this Monday with Construction Spending and ISM Manufacturing Index at 9:00 A.M., Export Inspections at 10:00 A.M., Cotton System, Fats and Oils and Grain Crushings at 2:00 P.M. and Crop Progress at 3:00 P.M. Was it April Fools' day on Friday or Fake News day? China’s economy is rolling with the manufacturing data painting a different picture than last week and Friday’s Planting Intentions data was a waist of time unless you were a fund and heavily short. Reality seems to be coming back to the markets today. China has announced more trade concessions and there are whispers running amok that a trade deal could be reached this week. The Grains are bouncing back and now that traders weathered the storm on Friday’s data and now with those numbers being discounted we may see the funds puke out of their short positions and create a rally and if there is an announcement that there is U.S.- China trade talk success, Katy Bar the door! In the overnight electronic session the May Corn is currently trading at 359, which is 2 ½ cents higher. The trading range has been 361 to 356 ½.
On the Ethanol front the May contract is currently trading at 1.360 in the overnight electronic session. The trading range has been 1.371 to 1.360. 10 contracts traded and Open Interest is at 794 contracts. The market is currently showing 3 bids @ 1.357 and 1 offer @ 1.364. The market is still facing the challenges it has recently with flood and refinery issues not solved at the moment.
On the Crude Oil front the market is picking up steam trading above $60 a barrel as we gear up for the summer driving season and the seasonable upswing on prices as we convert the fuel to summertime blends. In the overnight electronic session the May Crude Oil is currently trading at 6070, which is 56 points higher. The trading range has been 6092 to 6013.
On the Natural Gas front we are getting a boost in the market with the May contract currently trading at 2.702, which is 4 cents higher. The trading range has been 2.705 to 2.657. There are certain traders that anticipate a bull run and are starting to position as though before the run.
Have a Great Trading Day!