Happy 75th Anniversary of The Battle of Coral SeaGood Morning!
The historical first air-sea battle ever scored a tactical victory for Japan and an Allied a strategic victory as the Japanese invasion was repelled with their intentions of invading Port Moresby in southeast New Guinea with eyes later on Australia. In today’s times we have a new nemesis in the Pacific and that regime would be North Korea under leadership Kim Jong- UN is playing with dynamite and realizing dialogue with Beijing has been rather quiet so he detains another American professor teaching at one of their universities. This is a sign to the little dictator that the proxy war we have been fighting since the beginning of the 54th parallel between South Korea and the U.N. command nations versus North Korea, China and the Soviet Union is now at a game changer stage with no peace treaty ever signed. Also more geo-political news with the French election Pro-European centralist Emmanuel Macron won a resounding landslide win. This comes as former president Barack Obama endorsed him and ISIS threatening more terror if they did not like the results of the election. It is way too easy to call a victory here with several geo-political events happening around the globe.
On the Corn front we have Export Sales at 10:00 A.M. and Crop Progress. Also on Wednesday we have Crop Production USDA Supply Demand at 11:00 A.M. This morning is clear but cool and we have scattered patches of frost still this is not enough get the Grain complex started. Additional rains and below normal temperatures are forecasted throughout the week. In the overnight electronic session the July Corn is currently trading at 369 ½, which is 1 ¼ of a cent lower. The trading range has been 371 ¼ to 368.
On the Ethanol front there were no trades posted in the overnight electronic session. The June contract settled at 1.501 and is currently showing 1 bid @ 1.485 and 5 offers @ 1.514 with Open Interest at 2,138 contracts.
On the Crude Oil front the June contract failed to punch through 447 a barrel and sold off in the overnight electronic session. Geo-political risk and Goldman Sachs (NYSE:GS) downgrading its bullish optimism in prices has this market trading sideways to lower. Goldman is calling for $50 to be the high; however I am way uncertain why it thinks that. In the overnight electronic session the June contract is currently trading at 4610, which is 12 points lower. The trading range has been 4698 to 4599.
On the Natural Gas front we are coming in lower in the overnight electronic session with prices pulling back from last week’s runs. The June contract is currently trading at 3.229, which is .037 cents lower. The trading range has been 3.265 to 3.218.
Have a Great Trading Day