Target (NYSE:TGT) shares Q4 Earnings beat the street with online digital sales growth again. We also kickoff the day with the ISM Non-Manufacturing index at 9:00 A.M. and API Energy Stocks at 3:30 P.M. On the Corn front the market is looking ahead to the Black Sea and South American crop, Friday’s Crop Production USDA Supply/Demand data and continued favorable news with the U.S.-China trade talks. Whispers continue to swirl around that the deal will include U.S. Corn, Sorghum, DDG and ethanol. In the overnight electronic session the May Corn is currently trading at 374 ¼ which is a ½ of a cent lower.. The trading range has been 376 to 373 ¾.
On the Ethanol front the rule expanding the sales of E 15 promised by President Trump last year to help Corn farmers, but it also includes compromise measures sought by the Oil Industry to curb biofuel credit market speculation. The plan would have been released in February but was delayed by the 35 day-long Federal Government Shutdown! The E 15 contains 15% of Ethanol ,versus the 10% found in most U.S. Gasoline. The ban was imposed in the first place over concerns E 15 contributes to smog in hot weather. Reported by Humeyra Pamuk with Thomson Reuters. In the overnight electronic session there were no trades posted. The April contract settled at 1.352 with Open Interest at 1,028 contracts. The market is currently showing 1 bid @ 1.345 and 1 offer @ 1.353.
On the Crude Oil front the market dipped on weak economic data that sold the Stock Market off as well. If you really digested all the numbers and cause and effect the numbers actually had a bullish spin on, and more bullish in the long haul. Saudi’s cutting production and a deal that seems real close and the dynamics between what the U.S.-China negotiations could have other countries on board or they will stay behind on one of the most bullish economy boom based on FREE TRADE! There are still a lot of ongoing negotiations on the table but if we can smooth out the rough edges and have a straight deal for both sides this could be a model of how trade negotiations are carried out in the future. We look for brighter days ahead. In the overnight electronic session the April Crude Oil is currently trading at 5678 which is 19 points higher. The trading range has been 5691 to 5609. In the wake of this news I remain bullish on these sound fundamentals.
On the Natural Gas front cold weather is forecasted to stick around this March. Natural Gas producers and investors do not believe that long-term cold weather forecast warrants a bullish spike. In the overnight electronic session the Ap[ril Natural Gas is currently trading at 2.867 which is 1 cent higher. The trading range has been 2.892 to 2.849.
Have a Great Trading Day!