DTN Midday Grain Comments 10/25 11:06

DTN Midday Grain Comments 10/25 11:06 Corn, Soybean, Wheat Futures Lower at Midday Corn futures are 4 to 5 cents lower at midday Wednesday; soybean futures are 7 to 8 cents lower; wheat futures are 5 to 12 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 4 to 5 cents lower at midday Wednesday; soybean futures are 7 to 8 cents lower; wheat futures are 5 to 12 cents lower. The U.S. stock market is mixed with the S&P off 35 points. The U.S. Dollar Index is 7 points higher. Interest rate products are firmer. Energies are mixed with crude off .10 and natural gas up .03. Livestock trade is firmer with cattle the upside leader. Precious metals are mostly lower with gold off 1.00. CORN: Corn futures are 4 to 5 cents lower at midday with softer spread action as selling continues; trade is retracing further off the Friday highs with little fresh news to entice buyers. Ethanol margins should remain fairly stable in the near term with the weekly report showing production rising by 5,000 barrels per day (bpd) and stocks up by 286,000 bpd. Basis should remain steady in the short term with trade improvement likely into the end of the month as harvest slows into the weekend with wetter weather coming. South America should see little change in early growing season weather the next few days with some improvement in Argentina likely. On the December chart the 20-day moving average at $4.89 is nearby resistance after we faded through it with the $4.78 lower Bollinger Band key support. SOYBEANS: Soybean futures are 7 to 8 cents lower at midday with trade falling back into nearby support levels as meal strength fades and harvest bushels continue to weigh on the market. Meal is 4.50 to 5.50 lower and oil is 80 to 90 points higher. The daily export wire reported 126,000 metric tons (mt) sold to China. South America should continue to press forward with planting with most issues confined to northern Brazil at the moment and short-term improvement expected, especially for Argentina. The November soybean chart has support at the $12.54 lower Bollinger Band with the 20-day moving average at $12.84. We bounced off that this morning, with the Upper Bollinger Band at $13.16 as resistance. WHEAT: Wheat futures are 5 to 12 cents lower with KC action falling back to fresh lows with pressure from the dollar and row crops. Fresh bullish news continues to be scarce. Wetter weather should aid much of the eastern Plains soon. Trade will continue to watch world events with little fresh news from either hemisphere to move the market along with little change to weather there as well. Matif wheat remains soft while the dollar is back near the highs. On the KC December chart, support is at the fresh low at $6.49 with the 20-day moving average at $6.72 as resistance, which we failed to hold above again Monday. David Fiala can be reached at dfiala@futuresone.com Follow him on X, formerly Twitter, @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.