DTN Midday Grain Comments 02/01 11:02

DTN Midday Grain Comments 02/01 11:02 Corn, Soybeans Lower at Midday; Wheat Mixed Corn trade is 3 to 4 cents lower; beans are 17 to 19 cents lower, and wheat trade is 8 cents lower to 4 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is weaker with the Dow down 245 points. The dollar index is 40 points lower. Interest rate products are firmer. Energies are weaker with crude down 0.70 and natural gas down 0.11. Livestock trade is lower. Precious metals are flat with gold unchanged. CORN: Corn trade is 3 to 4 cents lower at midday with trade fading back to the lower end of the recent range with soft spread action and little fresh news. Ethanol margins have support from natural gas while blender margins tighten again as unleaded fades from the recent highs with the weekly report showing production up by 15,000 barrels per day, with stocks down 635,000 barrels. Crop development will continue to be watched with mixed Argentina rains and double crop planting in Brazil about to get going. The daily export wire has been quiet to start the week. Basis has stabilized in the west with above average action holding up overall. On the March chart, support is at the $6.70 20-day moving average with the upper Bollinger Band at $6.94 the next round up, which we have faded from last week with a fresh high for the move being scored at $6.88 3/4, which we tested Tuesday. SOYBEANS: Soybeans are 17 to 19 cents lower at midday with better South American progress and demand questions up front as trade fades back from the upper end of the range. Meal is 0.50 to 1.50 lower, and oil is 145 to 155 points lower. The daily export wire has remained quiet as we watch for more action from China as they return from holiday. South American weather should help stabilize the Argentina crop with Brazil harvest pace to lag a little bit. Basis remains mostly sideways near term. March chart support is at the $15.08 20-day which we remain solidly above, with the Upper Bollinger Band at $15.50. WHEAT: Wheat trade is 8 cents lower to 4 cents higher with trade consolidating recent gains at the upper end of the range with little fresh news to push action this AM with KC and Minneapolis taking the lead. Matif wheat values are a bit softer as well. On the chart, KC March has support at the 20-day moving average at $8.44 which we are solidly above, with the recent high at $8.95 as resistance with the Upper Bollinger Band at $8.82 which we are just below at midday. David Fiala can be reached at dfiala@futuresone.com Follow him on Twitter @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.