DTN Midday Grain Comments 10/12 10:41

DTN Midday Grain Comments 10/12 10:41 Corn, Wheat Futures Lower at Midday; Soybeans Higher Corn futures are 4 to 5 cents lower at midday Thursday; soybean futures are 1 to 2 cents higher; wheat futures are 3 to 8 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 4 to 5 cents lower at midday Thursday; soybean futures are 1 to 2 cents higher; wheat futures are 3 to 8 cents lower. The U.S. stock market is mixed with the S&P unchanged. The U.S. Dollar Index is 50 points higher. Interest rate products are weaker. Energies are mixed with crude .80 higher and natural gas .01 lower. Livestock trade is mixed with cattle leading. Precious metals are weaker with gold 1.50 lower. CORN: Corn futures are 4 to 5 cents lower at midday with support fading ahead of the WASDE report. On the report, trade is looking for corn yield at 173.6 bushels per acre (bpa) and carryout at 2.156 billion bushels (bb), both down slightly from last month. Ethanol margins will remain rangebound with unleaded finding support and near-term driving demand ticking up. The weekly EIA report showed production down by 5,000 barrels and stocks down by 358,000 barrels. The daily export wire saw 124,545 metric tons (mt) of corn sold to Guatemala. The weekly export sales report is delayed until Friday. Early South American corn sees little change in near-term weather conditions. On the December chart, the 20-day moving average at $4.83 1/2 is still support, with the Upper Bollinger Band at $4.95 1/2 as resistance, then the $5.00 area. SOYBEANS: Soybean futures are 1 to 2 cents higher in pre-report action with short-covering fading as we come off another fresh low with meal leading product action so far. Meal is 5.50 to 6.50 higher and oil is 50 to 60 points lower. On the report, trade is looking for bean yield at 49.9 bpa and carryout at 236 million bushels (mb), with a slightly lower yield and slightly higher carryout. The daily export wire saw more action today with 295,000 mt sold to unknown. Basis should flatten a bit in the short term with harvest heading for the homestretch and more improvement needed in the river system with expected rains likely to help some. South American planting should continue to move forward in the short term for Brazil with showers in some areas likely lighter than desired, except for southern Brazil. November chart support is the fresh low at $12.50 1/2, with resistance the 20-day moving average at $12.89. WHEAT: Wheat futures are 3 to 8 cents lower with action fading to fresh lows pre-report with a stronger dollar adding to selling ahead of the report. Matif wheat is slightly lower with the dollar back near the highs. Plains planting progress should continue to advance with further rains needed to establish stands. Planting will continue in the Black Sea as bushels continue to move out. On the report trade is looking for carryout at 651 mb, up about 40 mb from last month. On the KC December chart, the lower Bollinger Band at $6.43 is support with the fresh low at $6.55 above that, which we scored Thursday morning, and the 20-day moving average well above the market at $6.96 as resistance. David Fiala can be reached at dfiala@futuresone.com Follow him on X, formerly Twitter, @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.