DTN Midday Grain Comments 04/20 11:18

DTN Midday Grain Comments 04/20 11:18 Grain Futures Lower Midday Thursday Corn trade is 7 to 11 cents lower; beans are 11 to 15 cents lower and wheat trade is 9 to 19 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn trade is 7 to 11 cents lower; beans are 11 to 15 cents lower and wheat trade is 9 to 19 cents lower. The U.S. stock market is weaker with the S&P off 19 points. The U.S. Dollar Index is 0.18 lower. Interest rate products are higher. Energies are weaker with crude off $1.70 and natural gas off $0.40. Livestock trade is mixed. Precious metals are mixed with gold up $7. CORN: Corn trade is 7 to 11 cents lower at midday Thursday with some downward short-term chart momentum after Wednesday and then a low weekly export sales number Thursday morning. Outside markets have energies lower and the dollar mixed. Ethanol margins may see a boost from corn pulling back, but the unleaded futures sliding will crimp the blending side. Basis has softened in spots with bids off the July, but most expect limited farmer selling as we move through planting season. The second crop in Brazil has a potentially drier forecast into the end of the month. Planting will slow down this week with cooler and wetter weather for many, especially in the north with lower temps expected to linger. The weekly export sales were at 312,400 tons versus expected 400,000 to 650,000 metric tons. On the May chart, we are holding above the 20-day, which is now support at $6.55, and resistance is at the fresh high at $6.82 1/2 scored Tuesday. SOYBEANS: Soybean trade is 11 to 15 cents lower at midday with trade pulling back further after the drop on Wednesday; November beans have printed a two-week low. Meal is $6 lower and bean oil is down 0.75 cent on the nearby May contracts. The daily wire has remained quiet in recent days as Brazil remains much cheaper and like corn, beans saw a negative weekly number on the report this morning. The sales were listed at 100,100 versus expectations of 100,000 to 300,000 metric tons. Basis has generally remained solid in the short term with the market holding a substantial inverse. It is still early but any wet weather that delays corn planting should weigh on or limit upside on new crop beans. May chart support is the 20-day at $14.89 which we are testing at midday. The high on Tuesday at $15.31 is nearby chart resistance. WHEAT: Wheat trade is 9 to 19 cents lower at midday with KC the downside leader with some downside momentum. The forecast changes added better rains for the HRW belt that needs it. The dollar is chopping around the lower end of the range still, while Matif wheat is sharply lower to add some more drag to Chicago action. On the world front, India harvest will continue with weather issues more mixed for now along with corridor concerns easing for the moment. The weekly export sales were at 259,000 tons of old and 46,100 tons of new on the weekly report versus expectations of 300,000 to 500,000 metric tons. On the KC May Chart, the 20-day is resistance again at $8.65 with the lower Bollinger Band at $8.33 support. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.