On the ethanol front, Pacific Ethanol (NASDAQ:PEIX) is making headlines again with the stock rising 15% in early trade on Wednesday. One analyst quintupled its target on the stock, according to Rich Smith with Motley Fool. The reason in this rise to a stock recently relisted by the exchange is really simple, they renewed and improved their business model to enhance any sort of a profit during the pandemic which crippled the industry. In the overnight electronic session, the October ethanol posted a trade at 1.295 which was unchanged with 2 contracts traded. The market is currently showing 2 bids at 1.290 and 2 offers at 1.295 with Open Interest at 40 contracts.
On the crude oil front, futures jumped 5% in yesterday’s trade marking the best day since the June recovery following prices going into negative territory during the Russian-Saudi price war. Hurricanes did come into play with this price spike as inventories dropped and we are still bracing for more weather-related disruptions this active hurricane season.
On the natural gas front, we have the EIA Gas Storage today. Although, Hurricane Sally’s presence has been felt, the impact was minimal compared to the worst-case scenarios. The Reuters poll of the Gas Storage with 16 analysts participating estimate builds ranging from 63bcf to 89bcf with the actual increase of 79bcf. This compares to the one-year injection of 97bcf and the five-year average of 80bcf.