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Natural Gas March Contract On Deck

Published 01/26/2016, 10:43 AM
Updated 07/09/2023, 06:31 AM
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Happy Australia Day + Fed Day

Good Morning!

This morning we will have Consumer Confidence at 9:00 A.M. The FOMC meeting throughout the today and a rate-hike decision tomorrow and finally today we have the weekly API Energy Stocks data. China stocks still have that sinking feeling or have lost that loving feeling but may get a boost if the FED decides to keep rates in check and from news that Kuwait’s OPEC Governor Nawal al-Fuzain said at an Energy conference in Kuwait City that “OPEC is willing to cooperate with producers outside the group if they show their serious about cooperating this is a strong hint after the Chairman of Saudi Aramco was quoted Monday that his country could weather low prices for “long time.” In the overnight electronic session, the March crude oil is currently trading at 3036, which is 2 tics higher. The trading range has been 3085 to 2925 so far. The FED’s decision, tonight’s API data and tomorrows EIA data could support prices at these levels.

On the natural gas front the February contracts options expire today and the futures tomorrow so we are rolling over to the March contract, which is currently trading at 2.193 which is .038 cents higher. The trading range has been 2.216 to 2.128 so far. The market would like to test 2.250 to seek a new level.

On the ethanol front there were no trades posted in the overnight electronic session. The February contract settled at 1.397 and is showing 1 bid @ 1.380 and 1 offer @ 1.401.

On the corn front there is still not a lot of confidence in prices that has farmers doing backflips. At these levels we do see a slow moving cash market and we do see farmer selling on a decent rally. In the overnight electronic session, the March corn is currently trading at 368 ½, which is 1 ¼ of a cent lower. The trading range has been 370 to 367 so far.

Have a Great Trading Day!

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