Busy Week for Grains
Today we have EIA Gas Storage at 9:30 A.M., Consumer Confidence and Dairy Product Sales at 2:00 P.M. On the corn front tomorrow we will have Export Sales and on Friday we will have Crop Production.
USDA Supply/Demand and weather is increasingly becoming a different kind of factor with several weather modules forecasting a hotter June, July and August. This could be a game-changer in prices with a lot of investors are short with acreage and yields expected to be below the five-year average. In the overnight electronic session the July Corn is currently trading at 380 which is 2 ¾ cents higher. The trading range has been 380 ½ to 378 ¼.
On the Ethanol front there were no trades posted in the overnight electronic session. The July contract settled at 1.559 and is currently showing 1 bid at 1.551 and 9 offers at 1.579 with Open Interest at 1,337 contracts.
On the Crude Oil front we had the API showed for the third straight week of significant draws in Oil with last night Crude draws of 4.6 million barrels and Cushing, Oklahoma down 1.56 million barrels. The only thing that did not light a fire under the bulls was that gasoline stocks were up 4 million barrels and Distillates up 1.75 million barrels. In the overnight electronic session the July Crude Oil is currently trading at 4791 which is 28 points lower. The trading range has been 4823 to 4777.
On the Natural Gas front the market is trading higher on news we will be reaching the mid 90’s over the weekend. And tomorrows weekly EIA Gas Storage data to boot. I will relay the Thomson Reuters weekly poll of analyst injection predictions in tomorrow’s report. In the overnight electronic session the July Natural Gas is currently trading at 3.082 which is 4 cents higher. The trading range has been 3.095 to 3.052.