DTN Midday Grain Comments 04/20 11:19

DTN Midday Grain Comments 04/20 11:19 Corn, Beans Lower at Midday Corn is 5 to 7 cents lower, soybeans are 4 to 5 cents lower, and wheat is 9 to 22 cents higher. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market is weaker with the Dow down 190 points as active trade continues. The dollar index is 5 points higher. Interest rate products are firmer. Energies are mixed with expiring WTI crude cratering. Livestock trade is mixed. Precious metals are firmer with gold up $9.00. CORN Corn trade is 5 to 7 cents lower at midday with trade boring into fresh lower as weakness spills over from energy and soybeans. Ethanol production is still looking to stabilize at a level, and will need to see significant stock drawdowns to restart the plants as we reopen various states over the coming weeks. Weather looks to allow many areas to plant this week, with progress staying near average. Weekly export inspections were softer at 683,354 metric tons. Basis should remain sideways near term. On the May contract support is the lower Bollinger Band at $3.14 1/2, and resistance the 20-day at 3.33. SOYBEANS Soybean trade is 4 to 6 cents lower with trade staying just above the lows with broad weakness continuing. Meal is 1.00 to 2.00 lower, and oil is 10 to 20 points lower. South America continues to head towards a dry finish to the year with harvest moving forward at a good clip, and a focus on shipping and currencies remaining in place with the real fading from early gains and Brazil shipping to Asia in full swing now. Soybeans continue to lose ground vs. corn, limiting acre swing potential for now. Weekly export inspections remain soft at 539,824 metric tons. The May soybean chart support is the March low at $8.21, with resistance the 20-day at $8.63. WHEAT Wheat trade is 9 to 23 cents higher at midday with trade moving back toward the recent highs with concerns about export restrictions and crop conditions in the northern hemisphere. Russia remains dry short term in many areas, with some market intervention sales short term, while better rains are forecast in some areas. Kansas City is at a 56-cent discount to Chicago on the May while Minneapolis is minus 34 with wider action today. Weekly conditions is expected to show slight declines after the stress last week with maturity around average. Weekly export inspections remained range bound at 469,922 metric tons. The May Kansas City chart support is the lower Bollinger Band at $4.61, with resistance the 20-day at $4.81, which we are back above overnight with the upper Bollinger Band at $5.02 the next round up which we have tested this morning with the new high at 5.07 3/4, before pulling back. 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.