Funds short covering Sunday night was not enough to hold during Monday’s day session as we sold off the highs once again. In the overnight electronic session, May corn is currently trading at 357 ¾ which is 1 ¼ of a cent lower.
On the crude oil front, we have the weekly EIA Energy Stocks at 9:30. Last night the API showed a draw of 1.9 million barrels in crude, which was slightly bullish and the products continue to be bearish. A lot of prognosticators are calling for a free fall in this market testing the $20 level.
New proposed EPA requirements for the renewable fuel standard program, combined with challenging sugarcane harvests in South America, could increase demand for biodiesel, creating opportunity in a struggling energy sector.