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FED Chair Jerome Powell In No Rush To Hike Rates

Published 03/11/2019, 11:14 AM
Updated 07/09/2023, 06:31 AM
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Good Morning!

We kickoff the first Trading session with Daylight Savings Time move forward with Retail Sales at 7:30 A.M., Export Inspections and Consumer Inflation Expectations at 10:00 A.M. Jerome Powell was adamant he will finish his first term as FED Chair regardless of what disagreements he has with President Trump and the philosophy of his game plan has no bearing of what has been said. On the Corn front the market is eyeing progress in the U.S.-China trade talks, crop progress in the Black Sea and South America, and we do have temperatures rising to the mid-60’s by Thursday and with all the snow in Minnesota and Wisconsin a quick thaw could threaten farmland on the banks of the Mississippi with flooding. In the overnight electronic session the May Corn is currently trading at 365 ¼, which is 1 cent higher. The trading range has been 367 ¼ to 365. The China deal may be kicked down the road in April instead of late March. President Trump said it better be a “very good deal”, or no deal Our Chinese counterparts are realizing their economy is slowing a tad because it can not hit on all cylinders at one time. But unlike our democrat friends the Chinese realize to bolster a slowing down economy is to have major tax cuts, fee reduction and a looser monetary policy to combat economic growth slowdown.

On the Ethanol front the April contract is currently trading at 1.299, which is unchanged. The trading range has been 1.299 to 1.295. 9 contracts traded and Open Interest is at 848 contracts. The market is currently showing 1 bid @ 1.296 and 1 offer @ 1.301. This market is waiting as well as we continue to kick the can down the road in the major trade talks.

On the Crude Oil front the market is being held back early with the Boeing (NYSE:BA) news, which is a major component to the Dow is roughly 200 points lower at the moment. The Ethiopian Airlines Jet is the second crash of the new Boeing 737 Max in months and Airlines are grounding their fleets until there is an explanation of the accident in the black boxes. Caracas Venezuela plunged into darkness as there is not significant Energy supplies to keep the lights on. Look for further declines in exports of their heavy Crude Oil. While Crazy SOCIALIST DICTATOR MADuro blames the U.S. for a cyber attack after the U.S. sent in trucks with humanitarian aid of food and medicine were set on fire from his thugs in the military. In the overnight electronic session the April Crude Oil is currently trading at 5657 which is 50 points higher. The trading range has been 5679 to 5596.

On the Natural Gas front investors must have read the five-day weather forecast. The market is down and the April contract is currently trading at 2.785, which is 8 cents lower. The trading range has been 2.841 to 2.778.

Have a Great Trading Day!

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