Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

The Corn And Ethanol Report: 05/01/19

Published 05/01/2019, 12:47 PM
Updated 07/09/2023, 06:31 AM

Cuba And Russia Colluding In Venezuela

Good Morning!

Busy first day of May starting the ADP Employment at 7:15 A.M., Construction Spending and ISM Manufacturing Index at 9:00 A.M., EIA Energy Stocks at 9:30 A.M. and at 2:00 P.M. we have the following, Cotton System, Dairy Product Sales, Fats and Oils and Grain Crushings. The FED will also make an announcement on Interest Rates, which I do not seeing a move being made until the U.S.-China talks wrap up in a few weeks. If a deal is not reached with our Asian counterparts I would expect the FED to cut rates in the June meeting. We are also watching the events unfold in Venezuela with Cuba and Russia doing their best to keep the Maduro socialist regime in charge instead of the people of Venezuela who have been raped and robbed of their riches ever since Hugo Chavez became in charge and drove this thriving country down the drain. On the Corn front we have flood warnings all over the Mid-West and floods are getting worse in the waterlogged Plains and Mid-West. While further weather forecasts predict there will not be enough time to dry-out until the next system of rains pounce. Plantings are well below the ten-year average for this time while one must question when the fund take their foot off the selling accelerator. In the overnight electronic session the May Corn is currently trading at 356, which is 2 ¾ cents higher. The trading range has been 356 ½ to 353 ½.

On the Ethanol front the Nebraska Ethanol Board (NEB) submitted comments to the U.S. Environmental Protection Agency (EPA) urging the agency to issue a final rule on E15 allowing year round sales of Gasoline blended with 15% Ethanol. There hope is to have the rule in effect before the summer driving season, which will also help retailers to sell E15 everywhere in the U.S. without changes in specific blends. In the overnight electronic session the June Ethanol is currently trading at 1.325, which is .001 higher. The trading range has been 1.331 to 1.318. 4 contracts traded and Open Interest is at 1,037 positions. The market is currently showing 1 bid @ 1.323 and 3 offers @ 1.329.

On the Crude Oil front the market is eyeballing whether Maduro stays in power in Venezuela at the request of Cuba and Russia or will he bailout like the Venezuelan people want so much. This will definitely add price volatility as what would be deemed bearish if the socialist regime is rebuked adding thicker oil for Distillates that the market is in large demand at the moment. Last night's API Energy Stocks had investors wondering, Where did all these barrels of oil come from? The Products were in line as to expectations and this morning EIA Energy Stocks will confirm or deny the large crude oil build. In the overnight electronic session the June crude oil is currently trading at 6350, which is 41 points lower. The trading range has been 6373 to 6308.

On the natural gas front the market is unfamiliar territory trading higher so far. In the overnight electronic session the June Natural Gas is currently trading at 2.595, which is 2 cents higher. The trading range has been 2.606 to 2.561.

Have a Great Trading Day!

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.