DTN Midday Grain Comments 01/02 10:51

DTN Midday Grain Comments 01/02 10:51 Corn, Beans and Wheat Lower at Midday Tuesday Corn trade is 6 to 7 cents lower. Beans are 28 to 30 cents lower and wheat trade is 8 to 11 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is weaker at midday with the S&P 28 points lower. The dollar index is 70 points higher. The interest rate products are weaker. Energies have crude off .90 and natural gas up .04. Livestock trade is mixed with cattle leading. Precious metals are mixed with gold 2.80 higher. CORN: Corn trade is 6 to 7 cents lower at midday to start the new year with early selling pulling trade to fresh lows with spillover pressure from soybean and wheat. Ethanol margins are seeing pressure despite weaker corn with soft holiday driving demand and recent inventory growth. Basis looks to stay fairly steady to start the year. South American weather remains mostly favorable for the first crop corn. The daily wire has been quiet in recent days with weekly export inspections softer for the short week at 569,735 metric tons. On the March chart, the 20-day at $4.80 is nearby resistance which we faded from last week with the lower Bollinger Band at $4.66 chart support just above the $4.64 fresh low. SOYBEANS: Soybean trade is 28 to 30 cents lower at midday with better short-term rain boosting the drier areas of Northern Brazil short term along with product action soft to start the year. Meal is called 8 to 9 lower and oil is 55 to 65 points lower. The daily wire remained silent as exports seem to be shifting towards a wait-and-see approach on weather and needs with weekly export inspections soft at 961,694 metric tons. Basis is expected to remain flat on the recent trend to start the year. The March soybean chart has resistance at the fresh gap at 12.92. The $12.67 3/4 fresh low is nearby support with the lower Bollinger Band solidly above the market at $12.85. WHEAT: Wheat trade is called 8 to 11 cents lower with the stronger dollar helping to find some early selling but trade fading back into the middle of the range. The Plains could see additional moisture about six to eight days out with placement of snow still uncertain. World weather issues look limited as well with Southern Hemisphere harvest ongoing. Matif wheat faded from early strength as well. Weekly export inspections were soft at 273,671 metric tons. On the KC March Chart, resistance is at the 20-day moving average at $6.43 1/2 which tested early in the session before fading. Support is at the lower Bollinger Band at $6.17. David Fiala can be reached at dfiala@futuresone.com. Follow him on X, formerly Twitter, @davidfiala. (c) Copyright 2024 DTN, LLC. All rights reserved.