DTN Midday Grain Comments 03/06 10:52

DTN Midday Grain Comments 03/06 10:52 Soybean Futures Higher at Midday; Corn, Wheat Lower Corn futures are 1 to 2 cents lower at midday Monday; soybean futures are 13 to 15 cents higher; wheat futures are 8 to 16 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 1 to 2 cents lower at midday Monday; soybean futures are 13 to 15 cents higher; wheat futures are 8 to 16 cents lower. The U.S. stock market is firmer with the S&P up 25. The U.S. Dollar Index is 25 points lower. Interest rate products are mixed. Energies are mixed with crude up .20 and natural gas off .42. Livestock trade is mixed with cattle leading. Precious metals are firmer with gold up $1.00. CORN: Corn futures are 1 to 2 cents lower at midday with spillover strength from soybeans helping offset the drag from wheat and pull trade back from the lows of the session. Ethanol margins should see support from the corn pullback and looming spring demand as spring blends boost blender margins short term. Crop development will continue to be watched in Brazil with little change to the pattern in recent days as double-crop corn planting hits the homestretch while Argentina continues to struggle. The daily export wire showed some activity for the first time in two weeks with 110,000 metric tons (mt) sold to Japan and 182,000 mt to unknown destinations. Weekly export inspections showed a bit more life at 899,810 mt. Basis has shown pockets of strength. On the May chart, support is the fresh low at $6.22 1/4 with the lower Bollinger Band back below the market at $6.25, and the 20-day moving average well above the market at $6.62. SOYBEANS: Soybean futures are 13 to 15 cents higher with trade firming back from early weakness with meal providing the bulk of support. Meal is $10.40 higher, and oil is 46 points lower. Weekly export inspections slid seasonally to 542,238 mt. Trade will be looking for the Brazil export pace to extend strong recent movement with harvest pace catching up, even with some drier weather to help in Southern Brazil, with Argentina drier and warmer short term for the most part with the recent pattern continuing. New crop is gaining solidly versus corn this morning as acres will come further into focus. Basis remains mostly sideways to soft near term. May chart resistance is at the $15.18 20-day moving average, which we are back above midday with the upper Bollinger Band at $15.48 as further resistance, with the Lower Bollinger Band at $14.89, which is below that as support. WHEAT: Wheat futures are 8 to 16 cents lower with KC the downside leader at midday with spread action continuing to unwind as we push back to oversold conditions with little other fresh news to support buyers to start the week. The KC wheat areas look to remain on the shorter end of moisture with SRW seeing plenty of moisture, with the Northern Plains mixed heading towards planting. Matif wheat values are sharply lower as well, helping to keep pressure in place. The strong dollar will continue to limit upside with a bigger break needed to be friendly with trade fading off the upper end of the range. Weekly export inspections were softer at 268,136 mt. On the chart, KC May is just above the lower Bollinger Band at $7.92 with trade washing to new calender year lows overnight at $7.96 3/4. David Fiala can be reached at dfiala@futuresone.com Follow him on Twitter @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.