DTN Midday Grain Comments 09/21 10:56

DTN Midday Grain Comments 09/21 10:56 Corn, Soybean, Wheat Futures Lower at Midday Corn futures are 5 to 6 cents lower at midday Thursday; soybean futures are 19 to 21 cents lower; wheat futures are 10 to 13 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 5 to 6 cents lower at midday Thursday; soybean futures are 19 to 21 cents lower; wheat futures are 10 to 13 cents lower. The U.S. stock market is sharply weaker with the S&P off 55. The U.S. Dollar Index is 25 points higher. Interest rate products are weaker. Energies are mixed with crude .85 higher and natural gas off .03. Livestock trade is sharply lower. Precious metals are weaker with gold 30.00 lower. CORN: Corn futures are 5 to 6 cents lower at midday with trade once again pulling back from a test of resistance levels. Harvest will continue to make better short-term progress and there is negative spillover from outside markets. Ethanol margins should remain stable in the near term with signs of driving demand rebounding. The daily export wire saw 137,100 metric tons (mt) corn sold to Mexico. Weekly export sales were a bit softer at 566,900 mt. Basis could find some short-term strength ahead of the expected slowdown for weekend rains. On the December chart the 20-day moving average at $4.82 3/4 remains as resistance, with the fresh low at $4.67 3/4 as support. SOYBEANS: Soybean futures are 19 to 21 cents lower at midday with selling returning overnight as we fade back to the $13.00 area with harvest pressure and demand concerns continuing. Meal is 4.00 to 5.00 lower and oil is 55 to 65 points lower. Weekly export sales were soft at 434,100 mt of beans; 12,700 mt of old meal; 439,100 mt new meal; and 700 of oil. Basis will erode more into harvest with river concerns remaining as the Mississippi River is near the lowest flows of the year with more than one rain system needed to improve things. South American weather is keeping rains to Southern Brazil and Northern Argentina so far with planting to expand into the end of the month with better rains to the north next week. November chart support is the Lower Bollinger Band at $13.14, which we are below, then $13.00, which we are testing at midday; resistance is the 20-day moving average at $13.58. WHEAT: Wheat futures are 10 to 13 cents lower at midday with spillover pressure from row crops weighing with heavier selling during the day session. The dollar is stronger after British interest rates were held steady with expectations of higher for longer rates in the U.S. lingering. Matif wheat is working lower at midday as well. Plains planting progress should be boosted by potential moisture in the extended forecast. Trade is watching to see how Black Sea traffic out of Ukraine picks up. Weekly export sales remained lackluster at 307,700 mt of old; 14,000 mt of new. On the KC December chart, the 20-day moving average at $7.38 is resistance with support the lower Bollinger Band at $7.12, which we are just above. David Fiala can be reached at dfiala@futuresone.com Follow him on X, formerly Twitter, @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.