DTN Midday Grain Comments 02/01 10:49

DTN Midday Grain Comments 02/01 10:49 Corn, Soybean Lower; Wheat Higher at Midday Thursday Corn trade is 2-3 cents lower; beans are 17-19 cents lower and wheat trade is flat to 5 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is firmer at midday with the S&P 15 points higher. The dollar index is flat. The interest rate products are firmer. Energies have crude up .60 and natural gas is .03 lower. Livestock trade is mixed with cattle leading. Precious metals are mixed with gold 7.50 higher. CORN: Corn trade is 2-3 cents lower at midday with range-bound action continuing with softer spread action and negative spillover from soybeans. Ethanol margins should stay range-bound with corn and unleaded showing little movement short term. South American weather pattern remains in line for recent days with some relief expected towards the end of the forecast for the areas with recent dryness. The daily wire was quiet again today with weekly export sales solid at 1.207 million metric tons. Basis will likely see some pressure as movement picks up with the improved weather. On the March chart, the 20-day at $4.50 is nearby resistance with the lower Bollinger Band at $4.34 3/4 just below the $4.36 1/2 fresh low as support. SOYBEANS: Soybean trade is 17-19 cents lower at midday with choppy trade continuing with meal correcting and oil holding the lower end of the range as sustained buying remains in short supply. Meal is 6.50-7.50 lower and oil is flat to 10 points lower. The short-term weather pattern in South America keeps some stress to the south with relief expected soon while the north continues to see better weather as harvest expands in the first planted areas. The daily wire saw 206,834 metric tons (mt) sold to Mexico as the prime US export season is mostly wrapped up with weekly sales soft at 164,500 mt of beans, with meal strong at 494,200 mt and oil soft at 1000 mt. Basis should remain flat short term. The March soybean chart has resistance at the 20-day moving average at $12.28. The $11.87 1/4 fresh low is nearby support with the lower Bollinger Band below the market at 11.86. WHEAT: Wheat trade is flat to 5 cents higher with Minneapolis and Chicago action leading trade while KC action holds the nearby inverses. The Plains will see warmer-than-normal temps with some moisture expected this weekend. Matif wheat has scored fresh lows again with a light rebound at midday while the dollar tests the recent highs again. Weekly export sales on the lower end of expectations at 322,500 mt. On the KC March Chart, support is at the 20-day moving average at $6.19, which we are just above at midday. Resistance is the recent high at $6.41. David Fiala can be reached at dfiala@futuresone.com. Follow him on X, formerly Twitter, @davidfiala. (c) Copyright 2024 DTN, LLC. All rights reserved.