OptionEye Macro Outlook March 1st.
A weird one yesterday in the grain markets but kind of tells me the shorts are the weak hand. The news that Carl Icahn proposed a plan to the White House to overhaul the RFS by adding more ethanol usage during hotter months as well as a few other things. This three-part plan also would aim to slow imports of biodiesel from Argentina by ensuring US producers qualify for an expired tax credit. The tax credit is up for renewal. By noon the news was rebuffed by the White House but the damage was done.
Overnight we tacked on to some of those gains yesterday with corn up 3, beans up 9 and wheat up 6 to 7 cents.
The dollar is significantly stronger this morning - after the President's speech. This morning in early trade it is up .75 at 101.87.
The 10 year yield also rallying with a sell off in bonds. The yield sits at 2.43%.
The oil market still languishing at $54.15 up .14 cents. Gold quiet as well and a little lower at $1241.55 down $6.78.
Stocks will open higher as the trade seems to have like the speech. The S&P future is almost 12 points and the Dow future up almost 100 points.
Today we get MBA Mortgage Applications, Personal Income, PCE, Markit US Manufacturing PMI and ISM.
Re: OptionEye Macro Outlook March 1st.
Oh my Dad! The Dow is less than 100pt from hitting 21,000, do we bust through today? The State of the Union was the best speech that I have ever heard in my entire life. Grains in the green, good stuff Maynard!