For Bloomberg access:{OIAR<GO>}

On November 12, the December copper contract is making multi-year lows last seen during 2009. Additionally, the December S&P 500 E-mini contract is getting close to generating a short-term sell signal. It appears likely that December gasoline will generate a short-term sell signal tomorrow, which would reverse the short-term buy signal of November 3.

Corn:

December corn advanced 3.25 cents on heavy volume of 627,699 contracts. Volume fell from November 10 when the December contract lost 7.75 cents on volume of 816,276 contracts and total open interest increased by 29,032. On November 11, total open interest increased again, this time by 14,651 contracts, which relative to volume is approximately 10% below average, but a total open interest increase on yesterday’s advance is positive.

The December contract lost 29,550 of open interest, which means there were more than enough open interest increases in the forward months to offset the decline in December and increase total open interest. As this report is being compiled on November 12, the December contract is trading 1.00 cent lower and has made a daily low of 3.59 1/4, which is slightly below yesterday’s print of 3.59 1/2. December corn remains on short and intermediate term sell signals. We have no recommendation.

Soybean oil: On November 11, December and January soybean oil generated short-term sell signals, and remain on intermediate term sell signals.

December soybean oil lost 9 points on volume of 106,261 contracts. Total open interest declined by 5,509 contracts, which relative to volume is approximately 110% above average. The December contract lost 5,995 of open interest, January -50. As this report is being compiled on November 12, the December contract is trading 15 points above yesterday’s close and has made a new low for the move of 26.99. We have no recommendation.

Chicago wheat: On November 11, December Chicago wheat generated a short-term sell signal and remains on an intermediate term sell signal.

December Chicago wheat advanced 4.00 cents on heavy volume of 181,891 contracts. Volume fell from November 10 when the December contract lost 11.00 cents on volume of 243,810 contracts and total open interest increased by 4,673. On November 11, total open interest increased again, this time by 1,350, which relative to volume is approximately 60% below average. As this report is being compiled on November 12, the December contract is trading 1.50 higher and has not taken out yesterday’s low of 4.90. We have no recommendation.

Live cattle:

December live cattle increased by 3.00 cents, the daily limit on fairly heavy volume of 69,307 contracts. Total open interest increased just 59 contracts, but the December contract was locked limit up for most of the session. The December contract lost 4,837 of open interest, which means there were sufficient open interest increases in the forward months to offset the decline in December and increase open interest by a fractional amount. This is positive

As this report is being compiled on November 12, the December contract is rocketing higher, up by 3.35, or +3,35% and has made a daily high of 1.35000, which is the highest print since 1.35600 made on November 6. Currently, the December contract is trading approximately 5.06% above the contract low of 1.27425 made on November 10. December live cattle remains on short and intermediate term sell signals. We have no recommendation.

WTI crude oil:

December WTI crude oil lost $1.28 on heavy volume of 980,949 contracts. Volume was the strongest since November 9 when the December contract lost 42 cents on volume of 966,786 contracts and total open interest declined by 8,777 contracts. On November 11, total open interest increased by a substantial 25,495 contracts, which relative to volume is average, but it is the biggest open interest increase on any advance or decline in many weeks.

The previous large open interest increase occurred on October 23 when WTI lost 78 cents on volume of 708,127 contracts and total open interest increased by 17,729. Prior to this, the total open interest increase on October 21 of 23,376 comes closest to the increase of November 11 when WTI lost 1.09 on volume of 639,961.

Making the total open interest increase very impressive was the fact that the December contract lost 42,946 of open interest, which means there was more than enough open interest increases in the forward months to offset the decline in December and increase total open interest by an average amount.

In summary, yesterday’s action was very bearish and as this report is being compiled on November 12, the December contract is trading $1.16 lower and has made a new low for the move of 41.63, which is the lowest print since $40.57 made on August 27.┬áThe December contract is about to test the contract low of 39.22.

On October 21, OIA announced that December and January WTI crude oil generated short-term sell signals which reversed the September 3 short-term buy signals. December and January WTI remain on intermediate term sell signals. We have no recommendation.

The Energy Information Administration announced on November 12 that U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) increased by 4.2 million barrels from the previous week. At 487.0 million barrels, U.S. crude oil inventories remain near levels not seen for this time of year in at least the last 80 years. Total motor gasoline inventories decreased by 2.1 million barrels last week, but are well above the upper limit of the average range. Both finished gasoline inventories and blending components inventories decreased last week. Distillate fuel inventories increased by 0.4 million barrels last week and are in the middle of the average range for this time of year. Propane/propylene inventories rose 1.6 million barrels last week and are well above the upper limit of the average range. Total commercial petroleum inventories increased by 2.6 million barrels last week.

Dollar index:

The December dollar index lost 23.2 points on volume of 28,809 contracts. Total open interest increased by 1,130 contracts, which relative to volume is approximately 45% above average meaning new short-sellers were entering the market and driving prices lower (98.880). As this report is being compiled on November 12, the December contract is trading 28.3 points lower and has made a new low for the move of 98.610, the lowest print since 98.000 made on November 6. The December dollar index remains on short and intermediate term buy signals. We have no recommendation.

Euro:

The December euro advanced 23 pips on volume of 175,077 contracts. Total open interest declined just 104. As this report is being compiled on November 12, the December contract is trading 44 pips higher and has made a new high for the move of 1.0813, which is the highest print since 1.0900 made on November 6. The December euro remains on short and intermediate term sell signals. We have no recommendation.

S&P 500 E-mini:

The December S&P 500 E-mini lost 9.00 points on volume of 1,173,196 contracts. Total open interest declined by 16,713 contracts, which relative to volume is approximately 40% below average. As this report is being compiled on November 12, the December contract is trading 15.50 points lower and has made a new low for the move of 2049.00, which takes out the low of 2051.25 made on October 27. The December contract will generate a short-term sell signal if the daily high is below OIA’s key pivot point for November 12 of 2047.35. We have no recommendation.