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The Corn & Ethanol Report: Too Little, Too Late

Published 04/19/2022, 10:21 AM
Updated 07/09/2023, 06:31 AM
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The corn market made new highs yesterday, hinging mainly on a slow start in the planting season, lower South American corn exports, and a reduction in corn exports from Ukraine with doubts of a market there with the war still on. In the overnight electronic session, the July corn is currently trading at 806 ½, which is a ½ of a cent lower. The trading range has been 814 to 803.

On the Ethanol front, after the E15 announcement, headlines have been few. The IEA in March released a report predicting global biofuels supply will reach 3.3 million barrels per day by 2026, up from 2.6 million barrels per day in 2020. The forecast was included in the IEA’s Oil 2021 report. There were no trades or open interest in ethanol futures.

On the crude oil front, we need to get this permit sham out in the open. Oil companies are aware that drilling on Federal land will start protests and lawsuits from the Go Green people, and we need to get the facts straight. We need the public to know how drilling works. 

The bottom line is too much inflation and regulation, too little drilling on U.S. soil, and too late to solve this albatross of an energy policy. 

In the overnight electronic session, the June crude oil is currently trading at 10500, which is 261 points lower. The trading range has been 10837 to 10476.

On the natural gas front, we have a turnaround Tuesday, as well as balmy temperatures are forecasted starting Thursday. The market is giving back a chunk of the premium we built yesterday. In the overnight electronic session, the May natural gas is currently trading at 7.414, which is 0.406 lower. The trading range has been 7.939 to 7.307.

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