DTN Midday Grain Comments 03/19 11:11

DTN Midday Grain Comments 03/19 11:11 All Grains Higher at Midday Corn is 15 to 17 cents higher, soybeans are 24 to 28 cents higher, and wheat is 15 to 27 cents higher. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market is firmer with the Dow up 335 points with relatively calmer trade. The dollar index is 95 points higher. Interest rate products are weaker. Energies are sharply higher with crude $4.00. Livestock trade is sharply higher. Precious metals are firmer with gold up $5.00. CORN Corn trade is 15 to 17 cents higher at midday with short covering picking up overnight after the beginning of the week washout as trade tries to form a low in this environment with volatility likely to continue. Ethanol margins remain very poor, with unleaded futures up slightly along with ethanol futures as we try to stabilize the poor margins. Corn basis has eroded sharply at end users to start the week. Rains have worked across much of the Corn Belt short term to slow early field work. Weekly export sales were good with corn at 904,500 metric tons of old crop, and 56,100 metric ton of new crop. On the May contract support is the $3.32 area, with resistance the lower Bollinger Band at $3.45 which we are above at midday SOYBEANS Soybean trade is 24 to 28 cents higher at midday as trade finds buying once again with meal helping to lead the complex. Meal is $14.50 to $15.50 higher, and oil is 30 to 40 points higher. 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 scoring new lows again along with most other emerging market currencies, and the crop size tailing off a little bit. New-crop soybeans will need to gain vs. corn to provide an acreage incentive with gains this week, but still aways to go. Weekly export sales improved a little to 631,600 metric tons old crop, 69,600 of new, 129,100 of meal, and 18,900 of oil. The May soybean chart support is the longer-term low at $8.21 scored Monday, with resistance the 20-day at 8.74. WHEAT Wheat trade is 17 to 30 cents higher with Chicago taking the lead on short covering and milling demand. Weather threats for the Plains remain limited with cooler and wetter for the eastern Plains, while the west looks a bit drier. Kansas City is at a 6-to-8-cent discount to Chicago on the May with choppy trade continuing, while Minneapolis is -13 cents 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 sales showed improvement at 338,300 metric tons of old crop, and 143,800 of new. The May Kansas City chart support is the lower Bollinger Band at $4.17, with resistance the 20-day at 4.48, which we are well above at midday. 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.