DTN Midday Grain Comments 03/23 10:58

DTN Midday Grain Comments 03/23 10:58 Grains Mixed at Midday Corn is narrowly mixed, soybeans are 10 to 12 cents higher, and wheat is 9 to 18 cents higher. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market is weaker with the Dow down 800 points with no limit trade so far. The dollar index is 70 points lower. Interest rate products are weaker. Energies are mostly with crude down $0.40. Livestock trade is mostly limit higher. Precious metals are firmer with gold up $64.00. CORN Corn trade is narrowly mixed at midday with trade gapping lower then finding support from soybeans and wheat, while ethanol demand will continue to weigh on the market. Ethanol margins remain very poor, with unleaded futures up slightly along with ethanol futures as we try to stabilize the poor margins unleaded scoring new lows again, along with ethanol futures. Corn basis will likely continue to see pressure. Rains have worked across much of the Corn Belt short term to slow early field work with the extended forecast looking drier. Weekly export inspections showed improvement at 816,634 metric tons. On the May contract support is the lower Bollinger Band at $3.36, and resistance the 20-day at $3.67. SOYBEANS Soybean trade is 10 to 12 cents higher at midday with trade quickly turning higher overnight with meal demand continuing to lead the charge. Meal is $3.50 to $4.50 higher, and oil is 20 to 30 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, especially on crushing and shipping concerns. New-crop soybeans will need to gain vs. corn to provide an acreage incentive with gains this week, but still a ways to go. Weekly export inspections were mediocre at 570,642 metric tons. The May soybean chart support is the longer-term low at $8.21 scored Monday, with resistance the 20-day at $8.72 which we are just above at midday. WHEAT Wheat trade is 12 to 20 cents higher with milling demand and European shipping concerns with Russia suspending exports for now, along with Chinese interest pushing trade back to the higher end of the range. 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 70-cent discount to Chicago on the May with choppy trade continuing, while Minneapolis is minus 22 with wider action continuing. World export business has shifted towards Asia short term. Weekly export inspections were inline with recent weeks at 349,369 metric tons. 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 above overnight with the recent high at $4.93 beyond that. 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.