Good Morning!
In the overnight electronic session the Grain complex must have took in account of weather and demand on the horizon. The May Corn is currently trading at 370 ½, which is 1 cent higher. The trading range has been again very tight with highs of 370 ¾ to 369. We will soon have an education of Planting Intentions and mother nature will be the factor in this growing season. I remind you, “it is not what you plant but what you grow” and in this El-Nino – La-Nina weather pattern we could see more weather havoc.
On the Ethanol Front there were no trades posted in the overnight electronic session. The April contract settled at 1.390 and is currently showing 2 bids @ 1.373 and 2 offers @ 1.389 in quiet trade at the moment figuring out direction.
On the Crude Oil front the Brussels bombings have showed once again that terrorism affects free markets for free men and demand concerns come back into play. This is impacting price movement but at the end of the day when these cowards are caught and justice is served the market will seek its own level. In the overnight electronic session the May Crude Oil is currently trading at 4111, which is 41 points lower. The trading range has been 4179 to 4105 so far. If we had a true leader in the free world this would have never happened, Let’s see how the markets react after the initial shock and concerns of this attack.
On the Natural Gas front the market is trading higher after the profit taking and new positions that have been put on in this oversold market. Weather will contribute to how fast and furious this market will eventually rally. In the overnight electronic session the April contract is currently trading at 1.855, which is .027 cents higher. The trading range has been 1.861 to 1.796 so far. I expect this market to shake and bake before a weather marker will overcome all of the bearish sentiment.
Have a Great Trading Day!