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The Corn And Ethanol Report: 1-04-18

Published 01/04/2019, 12:02 AM
Updated 07/09/2023, 06:31 AM
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Apple (NASDAQ:AAPL) Revenues Put Pain on the Gains

With the government shutdown we could see a delay with the USDA reports. Apple revenues sharply lower than expected even with investors expecting a negative number. And Apple’s current situation has an aura of the Motorola (NYSE:MSI) dive from 2007 to 2009. President Trump reiterated Trade Talks with China are coming along very well, and he further went on to say there was a glitch in the Stock Market last month, but it has a long way to go and will go up once the trade deals are settled. On the Corn front the China talks are front and center but traders are looking ahead to weather in Argentina and Brazil. To the casual eye this could support more buying of U.S. Corn and U.S. Soybeans and possibly carryover to Ethanol exports. In the overnight electronic session the March Corn is currently trading at 377 ¼ which is 1 ½ of a cent higher. The trading range has been 377 ½ to 374 ¾.

On the Ethanol front the January contract is closing in on expiration while the February contract is currently trading at 1.271 which is .005 lower. The trading range has been 1.277 to 1.271 with 6 contracts traded and Open Interest at 1,967 contracts. The market is currently showing 1 bid @ 1.272 and 1 offer @ 1.276.

On the Crude Oil front the market is showing resiliency after starting to rally in yesterday’s trading session only to fall into negative territory with the shock of the Apple News. Now the market recovered as investors realize production cuts will happen and budget cuts with Frackers and other Oil Industry related to exploration cannot be done at these price levels. Let’s face it the one constant in the history of the Oil Industry is it is a boom or bust industry. One day you have black gold and other times your profit center is too narrow to stay in business. In the overnight electronic session the February Crude Oil is currently trading at 4729 which is 75 points higher. The trading range has been 4738 to 4535.

On the Natural Gas front warmer temperatures forecasted on the five-day continues to slide the Natural Gas. In the overnight electronic session the February contract is currently trading at 2.898, which is 6 cents lower. The trading range has been 3.011 to 2.882.

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