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Commodities: Market Doldrums

Published 05/25/2017, 01:01 PM
Updated 07/09/2023, 06:31 AM
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Good Morning!

This morning we have Export Sales at 7:30 A.M., Initial Jobless Claims at 7:30 A.M. and EIA Gas Storage at 9:30 A.M., Which brings us to Scott Disavino of Thomson Reuters weekly poll with 22 analysts participating this week predicting injection builds of 65 bcf to 82 bcf with the median 71 bcf. This compares to 68 bcf last week, the 1 year of 71 bcf and the five-year average of 90 bcf. The June contract is set to expire tomorrow so we will roll to the July contract which is currently trading at 3.310, which is 1 cent higher. The trading range has been 3.321 to 3.291.

On the Corn front like many other markets in the basket of commodities seem to be trading in a malaise. No rhyme or reason to the market reaction with light volume. Monday’s Crop Progress report did little to change the bearish sentiment of investors in this market. They may have a rude awakening as USDA yield numbers change during the growing season. In the overnight electronic session the July Corn is currently trading at 372 ½, which is 1 ¼ of a cent lower. The trading range has been 373 to 370 ¾. The $60 Thousand Dollar Question is, “How further can they press this market”?

On the Ethanol front there were no trades posted in the overnight electronic session. The July contract settled at 1.505 and is currently showing 1 bid @ 1.506 and 4 offers @ 1.525 with Open Interest at 1,449 contracts.

Speaking of malaise the Crude Oil market could not muster a rally even after bullish inventory numbers Tuesday and Wednesday. Early whispers out of the OPEC meeting did little to get the bulls back in the game with passion with light volume in this holiday week. The whispers are not the final word and this could have shaken some investors out of the market. In the overnight electronic session the July Crude Oil is currently trading at 5070, which is 66 points lower. The trading range has been 5200 to 5008.

Have a Great Trading Day

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