DTN Midday Grain Comments 02/22 10:49

DTN Midday Grain Comments 02/22 10:49 Corn, Beans Lower, Wheat Mixed at Middday Wednesday Corn trade is 5-6 cents lower. Beans are 6-8 cents lower and wheat trade is 2 cents lower to 2 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is firmer at midday with the S&P 85 points higher. The dollar index is 3 points higher. The interest rate products are mixed. Energies have crude .40 higher and natural gas .08 lower. Livestock trade is mostly higher. Precious metals are mixed with gold off $2. CORN: Corn trade is 5-6 cents lower with trade giving back early short covering gains to wash to another set of fresh lows as trade continues to deepen its oversold conditions. Ethanol margins remain stable with unleaded phasing in spring blends with the weekly report showing production up by another 1,000 barrels a day to 1.084 million. Stocks declined by 308,000 barrels. The daily wire was quiet with weekly sales delayed until Friday, but we saw 126,000 metric tons sold to China. Basis has stayed steady as we head towards the end of the month and the farmer position is expected to weigh further. Early second-crop corn should continue to progress. On the March chart, the 20-day at $4.33 is nearby resistance with the lower Bollinger Band at $4.06 just above the $4.05 1/2 fresh low as support. SOYBEANS: Soybean trade is 6-8 cents lower at midday with early two-sided action turning to selling again as meal tracks to fresh lows along with the upfront soybean contracts. Meal is $3.50 to $4.50 lower and oil is 30 to 40 points higher. South American weather should continue to the recent pattern into mid-month with harvest moving along further while Argentina looks to be mixed short term. The daily wire was quiet today. Basis should remain flat short term domestically. March soybeans have resistance at the 20-day moving average of $11.90. The $11.53 1/2 fresh low is nearby support with the lower Bollinger Band just below 11.53. WHEAT: Wheat trade is 2 cents lower to 2 cents higher with early strength of 15-17 cents firmer giving way to midday selling as the row crop spillover pressure picked up yet again. The Plains will see warmer-than-normal temps persist into March with better moisture possibilities the second week as crop starts to leave dormancy. The dollar is flat and just short of the recent highs, with Matif wheat firming further off the lows with French crop conditions turning lower to start the year. On the KC March chart, resistance is at the 20-day moving average at $6.05 which we remain well below. Support is the fresh low at $5.63 with the lower Bollinger Band just above that at $5.64. David Fiala can be reached at dfiala@futuresone.com. Follow him on X, formerly Twitter, @davidfiala. (c) Copyright 2024 DTN, LLC. All rights reserved.