DTN Midday Grain Comments 02/06 10:49

DTN Midday Grain Comments 02/06 10:49 Corn Trade Lower, Beans and Wheat Higher at Midday Corn trade is 2-4 cents lower. Beans are 3-4 cents higher and wheat trade is 2-6 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is mixed at midday with the S&P 5 points higher. The dollar index is 15 points lower. The interest rate products are firmer. Energies have crude up .60 and natural gas is .05 lower. Livestock trade is mixed with cattle leading. Precious metals are firmer with gold 9.00 higher. CORN: Corn trade is 2-4 cents lower at midday with range bound action continuing with softer spread action and little fresh news otherwise with early gains fading even as beans and wheat hold light gains. Ethanol margins should find support with signs of increased driving demand with the warmer February weather so far, along with spring blends phasing in as we head towards March with a continued production rebound expected in the report tomorrow. South American weather pattern remains in line with recent days with rains for the recently drier area later in the week with some notable heat in front of that. The daily wire was quiet today after the small sale to start the week. Basis will likely see some pressure as movement picks up with the improved weather. On the March chart, the 20-day at $4.47 5/9 is nearby resistance with the lower Bollinger Band at $4.35 3/4 just below the $4.36 1/2 fresh low as support. SOYBEANS: Soybean trade is 3-4 cents higher at midday with oil leading the product complex as trade works to build on the reversal scored yesterday with little other fresh news. Meal is $.50 to $1.50 lower and oil is 65-75 points higher. The short-term weather pattern in South America should bring relief to the recently dry southern areas later in the week while early harvest continues to expand pressing basis in Brazil. The daily wire was quiet again today. Basis should remain flat short-term domestically. The March soybean chart has resistance at the 20-day moving average of $12.18 1/2. The $11.79 1/2 fresh low is nearby support with the lower Bollinger Band just above that at 11.81. WHEAT: Wheat trade is 2-6 cents higher with trade chopping along the lower end of the range yet again with the dollar strength limiting the upside so far but better action in the day trade than overnight with spread action remaining firm. The Plains will see warmer-than-normal temps this week after some weekend rains. Matif wheat remains have rebounded a bit today, and the dollar continues to hold the recent highs. On the KC March Chart, resistance is at the 20-day moving average at $6.17 which we are just above at midday. Support is the lower Bollinger Band at 5.97. David Fiala can be reached at dfiala@futuresone.com. Follow him on X, formerly Twitter, @davidfiala. (c) Copyright 2024 DTN, LLC. All rights reserved.