DTN Midday Grain Comments 03/20 10:57

DTN Midday Grain Comments 03/20 10:57 Wheat, Beans Higher at Midday Corn is narrowly mixed, soybeans are 12 to 14 cents higher, and wheat is 3 to 6 cents higher. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market is firmer with the Dow up 40 points with relatively calmer trade. The dollar index is 112 points lower. Interest rate products are weaker. Energies are weaker with crude down $2.40. Livestock trade is firmer led by cattle. Precious metals are firmer with gold up $14.00. CORN Corn trade is narrowly mixed at midday with trade trying to build on the Thursday strength as further stimulus bills go through congress along with China buying showing up with 756,000 metric tons of old crop. Ethanol margins remain very poor, with unleaded futures up slightly along with ethanol futures as we try to stabilize the poor margins unleaded remaining near the lows. 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. On the May contract support is the lower Bollinger Band at $3.40, and resistance the 20-day at $3.67. SOYBEANS Soybean trade is 12 to 14 cents higher at midday as trade finds buying once again with oil the product leader so far as export concerns push some product business back to the U.S. with China picking up steam again economically and 110,000 metric tons hitting the daily wire to unknown. Meal is $2.50 to $3.50 higher, and oil is 10 to 20 points higher. South America has seen little change to weather but crop estimates have tailed off with inflation and virus disruption concerns moving towards the front of the market. New crop soybeans will need to gain vs. corn to provide an acreage incentive with gains this week, but still aways to go. The May soybean chart support is the longer-term low at $8.21 scored Monday, with resistance the 20-day at 8.72. WHEAT Wheat trade is 3 to 7 cents higher with Chinese buying of 340,000 metric tons and milling interest helping to push trade higher. 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 68-cent discount to Chicago on the May with choppy trade continuing, while Minneapolis is minus 21 to the Chicago with a huge swing this week. World export business has shifted towards Asia short term. The May Kansas City chart support is the 20-day at $4.52, with resistance the upper Bollinger Band at $4.74 which we are just below overnight. 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.