Good Morning!
Yesterday’s quiet trading day may be a little louder today. The FED is not expected to raise rates but the verbiage after the announcement and earnings could make for an interesting day. A lot of chatter in the Energy sector where the weekly API showed Crude supplies fell 1.1 million barrels. And Exxon Mobil's (NYSE:XOM) downgrade leaves two AAA- rated companies in the U.S. This is also a sign of healthy oil companies are good for the U.S. economy with smaller companies not able to sustain the vicious drop in oil prices and majors that were creating jobs, exploration and capital spending creating exploration. Unfortunately, with banks not loaning money with oil at price levels all these projects have been shelved and the people they laid off and projects that have been retreated from may be gone for good. This morning we will have the EIA data that should confirm the API data. In the overnight electronic session the June Crude Oil is currently trading at 4483, which is 79 points higher. The trading range has been 4513 to 4440.
On the Natural Gas front another reminder that the May contract expires today. The June contract is currently trading at 2.173 in the overnight electronic session, which is .014 cent higher. The trading range has been 2.199 to 2.166
On the Ethanol front there were no trades posted in the overnight electronic session. The May contract settled at 1.545 and is currently showing 7 bids @ 1.525 and 1 offer @ 1.558.
On the Corn front the market is trading a little easier with the rest of the complex. Rains and cooler temperatures will effect areas that are behind in plantings. In the overnight electronic session the May Corn is currently trading at 380 ¾, which is ½ of a cent lower. The trading range has been 382 ¾ to 380. Better talk of crop conditions coming out Argentina and Brazil are pressuring this market.
Have a Great Trading Day!