DTN Midday Grain Comments 10/23 10:57

DTN Midday Grain Comments 10/23 10:57 Corn Futures Mixed at Midday; Soybeans Lower; Wheat Higher Corn trade is narrowly mixed and beans are 1 cent to 2 cents lower. Wheat trade is 5 cents to 10 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is weaker with the S&P off 45 points. The dollar index is 10 points lower. Interest rate products are firmer. Energies are firmer. Livestock trade is mostly lower. Precious metals are firmer with gold up 28. CORN: Corn trade is 1 cent to 2 cents lower to start the week, fading back into nearby support levels after reversing on Friday with harvest pressure to continue until rains move through later in the week. Outside markets have energies weaker and the dollar flat. Ethanol margins remain stable with unleaded trying to firm off the lows to boost blender margins while corn relaxes from the highs. Basis should remain steady short term with trade improvement likely into the end of the month as harvest slows on the back half with wetter weather coming. South America should see little change in early growing season weather over the next few days. Weekly export inspections are expected to be in the 350,000 to 550,000 metric ton range, with weekly crop progress showing harvest just above the 5-year average pace. On the December chart, the 20-day at $4.89 is nearby support with the $4.75 lower Bollinger Band key support. Resistance is at $5.09 1/2 fresh high scored Friday with the Upper Bollinger band just above current trade at $5.02. SOYBEANS: Soybean trade is 9 cents to 10 cents lower to start the week with harvest pressure coming out of the weekend along with meal momentum slowing keeping early pressure on the market. Meal is 4.50 to 5.50 lower and oil is 15 to 25 points higher. The daily wire was quiet to finish the week with weekly inspections expected to be in the 1.50 to 1.90 million metric ton range. Weekly crop progress should show harvest ahead of the 5-year average with things well past halfway now. South America should continue to press forward with planting with most issues confined to northern Brazil now. The November soybean chart has support at the $12.54 lower Bollinger Band with the 20-day at $12.85 above that, with the Upper Bollinger Band at $13.17 as resistance. WHEAT: Wheat trade is flat to 6 cents higher with spring wheat leading to start the week with action looking to remain rangebound short term with firmer spread action to start the week. Plains planting progress should continue at a normal pace with rains later in the week benefiting the eastern plains. Trade will continue to watch world events with little fresh Black Sea news while Australia continues to mostly decline along with Brazil seeing excessive rains. Matif wheat is weaker to start while the dollar remains at the upper end of the range. Weekly export inspections are expected to be in the 300,000 to 500,000 metric ton range, with planting and emergence near the five-year averages. On the KC December Chart, support is at the lower Bollinger Band at $6.52 with the 20-day moving average at $6.77 nearby resistance which we failed to hold above on Friday. CATTLE: Live cattle are called 30 to 60 lower with feeders to follow suit after cattle on feed came in a bit above expectations, although higher placements likely signal limited herd expansion into next year. Cattle on feed came in a bit ahead of expectations at 101% of feed, placements at 106%, and marketings at 89%, but further downside should limited with the late-week weakness. Packer pace should start the week in line with recent weeks. Boxed beef action remained rangebound with choice 1.26 higher to 305.38 and select 1.22 higher to 278.79 with good volume. Exports were almost 0 and a marketing year low last week. On the December contract, we have resistance at the 20-day moving average at 187.40 with support at the lower Bollinger Band at 183.70. LEAN HOGS: Lean hogs are called 20 to 40 lower with continued pressure likely until we can show some sustained fundamental improvement with seasonal numbers still weighing on action. Fresh pork found a little support to close the week up .84 to 87.97, and cash action was 3.59 lower with packer margins remaining positive for the moment. Packer pace should remain in line with recent action to start the week. Export sales continued to rebound with another week of gains. On the December chart, trade has resistance at the 20-day at 70.80 with the fresh low at 65.40 as support. David Fiala can be reached at dfiala@futuresone.com Follow him on X, formerly Twitter, @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.