DTN Midday Grain Comments 12/20 10:50

DTN Midday Grain Comments 12/20 10:50 Bean Futures Mixed at Midday; Corn, Wheat Lower Corn trade is flat to 1 cent lower. Beans are mixed and wheat trade is 5 to 9 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is firmer at midday Wednesday with the S&P 5 points higher. The dollar index is 10 points higher. The interest rate products are firmer. Energies have crude up 1.05 and natural gas unchanged. Livestock trade is mostly lower. Precious metals are mixed with gold down 4.50. CORN: Corn trade is flat to a penny lower at midday with spread action remaining flat to softer as trade grinds along the lower end of the range with little fresh news as volume thins heading towards Christmas. Ethanol margins look to remain range-bound short term with the weekly report showing production down 3,000 barrels per day and stocks surging by 806,000 barrels. Basis should remain steady towards year-end with farmer movement, at least light, expected after the first of the year. South American weather should remain a non-issue for first crop corn. The daily wire has remained quiet this week. On the March chart, the 20-day at $4.81 is nearby resistance with the Lower Bollinger Band at $4.71 chart support just above the $4.70 1/2 late November low. SOYBEANS: Soybean trade is mixed at midday with notable spread strength as trade remains range-bound with better weather expected for Brazil, but a bit of confidence coming out of the amount of rains forecasted. Meal is $3 to $4 lower, and oil is narrowly mixed with crush margins still solid, but better product action is needed to get trade more excited. The daily wire has slowed this week after the prior buying, but export business is still expected on weakness. The January soybean chart has resistance at the 20-day at $13.22 and then the 100-day at $13.36. The $12.92 recent low is nearby support then the lower Bollinger Band at $12.90. WHEAT: Wheat trade is 5 to 9 cents lower at midday as choppy action continues with trade giving back the Tuesday gains again. The plains should see mostly warmer temps over the holidays with some moisture potential for the eastern and southern plains in the 7-day forecast. World weather looks benign for the Northern Hemisphere overall while Southern Hemisphere harvest will continue to move forward. Matif wheat is mixed at midday, with the dollar working just a bit off the lows. On the KC March chart, resistance is at the 20-day moving average at $6.37 1/2 which we are back below at midday after the strong finish. The next resistance level is up at the $6.51 50-day. Support is at the lower Bollinger Band at $6.02. David Fiala can be reached at dfiala@futuresone.com. Follow him on X, formerly Twitter, @davidfiala. (c) Copyright 2023 DTN, LLC. All rights reserved.