US President Donald Trump's administration invited a group of U.S. senators to the White House to discuss the bio-fuels policy. This meeting is aimed at helping refineries cope with rules of the Renewable Fuel Standard (RFS). Sources say the senators will include Iowa senators Chuck Grassley and Joni Ernst from the state of Iowa on the Corn front and senators representing refineries Pat Toomey from Pennsylvania and Ted Cruz from Texas.
Stay Tuned. In the overnight electronic session the July Corn is currently trading at 404 ¾ which is a ¼ of a cent lower. The trading range has been 405 ¼ to 403 ¼. Plantings are on the rise but remember what Mother Nature reminds us, “it is not what you plant but what you grow”. On the Ethanol front the May contract closes in on Expiration and there were no trades posted in the overnight electronic session. The June contract settled at 1.454 and the market is currently showing 1 bid @ 1.452 and 2 offers @ 1.455 with Open Interest at 855 contracts.
On the Crude Oil front the market held key support a $67 a barrel and I anticipate higher prices heading into the weekend, especially with fundamentals of supply & demand and also the geo-political front. In the overnight electronic session the June Crude Oil is currently trading at 6763 which is 30 points lower. The trading range has been 6828 to 6753. On the Natural Gas front we have the EIA Gas Storage data due out today and we are going no where fast.
The Thomson Reuters weekly poll with analysts predicting builds of 40 bcf to 68 bcf. This compares to the one-year build of 68 bcf and the five-year average of 69 bcf. The fundamentals remain the same and future prices remain premium to cash. In the overnight electronic session the June contract is currently trading at 2.744 which is 1 cent lower. The trading range has been 2.773 to 2.743.