DTN Midday Grain Comments 03/16 10:59

DTN Midday Grain Comments 03/16 10:59 All Grains Lower at Midday Corn is 9 to 10 cents lower, soybeans are 14 to 16 cents lower, and wheat is 2 to 13 cents lower. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market is lower with the Dow down 1600 points, which is off the lows. The dollar index is 55 lower. Interest rate products are weaker. Energies are weaker with crude $1.60 lower. Livestock trade is limit lower for the most part. Precious metals are lower with gold down $2.00. CORN Corn trade is 9 to 10 cents lower at midday with early two-sided trade fading again amid the outside market negativity along with spreads weakening. Ethanol margins remain very poor, with unleaded futures hitting the lowest level since 2008 on demand loss. Corn basis has remained steady. Rains have worked across much of the Corn Belt short term to slow early field work. Weekly export inspections showed some life at 977,879 metric tons. On the May contract support is the $3.50 area, with resistance the 20-day at $3.75. SOYBEANS Soybean trade is 13 to 15 cents lower at midday with the early attempt to hold faded again with the broader markets. Meal is 1.50 to 2.50 lower and oil is 70 to 80 points lower. South America has seen little change this week with harvest mostly moving along, and more rains expected the next two weeks with Brazilian farmers potential looking towards slowing sales as an inflation hedge with the ral remaining very weak, but the dollar also reversing course today. New crop soybeans will need to gain vs. corn to provide an acreage incentive ahead of planting but everything remains in favor of bigger corn acres. Weekly export inspections were soft at 436,358 metric tons. The May soybean chart support is the longer term low at $8.31, with resistance the 20-day at $8.93. WHEAT Wheat trade is 2 to 12 cents lower at midday with trade seeing spillover pressure as well with only the weaker dollar as a friendly item on the horizon. Weather threats for the Plains remain limited with cooler and wetter short term weather. Kansas City is at a 71-cent discount to Chicago on the May with choppy trade continuing, while Minneapolis is plus 7 to the Chicago. World export business has been quieter in recent days but new tenders are being issued to extend importers to harvest with Russian values sinking as well. Weekly export inspections were inline with expectations at 449,653 metric tons. The May Kansas City chart support is the lower Bollinger Band at $4.17, with resistance the recent highs around $4.53. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered adviser. He can be reached at dfiala@futuresone.com Follow him on Twitter @davidfiala (AG) Copyright 2020 DTN/The Progressive Farmer. All rights reserved.