DTN Midday Grain Comments 02/27 12:10

DTN Midday Grain Comments 02/27 12:10 Corn, Beans, Wheat Higher at Midday Tuesday Corn trade is 2-3 cents higher. Beans are 5-7 cents higher and wheat trade is 9-13 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is mixed at midday with the S&P 2 points lower. The dollar index is 7 points lower. The interest rate products are firmer. Energies have crude .80 higher and natural gas .06 higher. Livestock trade is mixed. Precious metals are mixed with gold up $13. CORN: Corn trade is 2-3 cents higher at midday with trade working to build on the reversal from Monday with softer spread action and oversold conditions eased a bit with a still substantial short overhanging the market. Ethanol margins remain stable with unleaded phasing in spring blends which boosts blender margins along with the cheaper corn and natural gas while nearby supplies remain ample and limiting to upside. The daily wire was quiet for today. Basis has stayed steady as we head towards the end of the month and the farmer position is expected to weigh further as basis contracts get rolled or priced heading towards first notice day with most of that business likely wrapped up by the end of day. Early second-crop corn should continue to progress in Brazil with planting pace ahead of average. On the March chart, the 20-day at $4.26 is nearby resistance with the lower Bollinger Band at $3.96 1/4 just above the $3.95 1/4 fresh low as support. SOYBEANS: Soybean trade is 5-7 cents higher with mixed product action so far with trade looking to build some momentum from the lower end of the range today with early meal strength faltering. Meal is $1 to $2 lower and oil is 90 to 100 points higher. South American weather should allow for Brazil harvest to keep moving along with little in the way of near-term changes for Argentina. The daily wire saw 123,000 metric tons of beans sold to unknown. Basis should remain flat short term domestically as March goes into delivery. The March soybeans have resistance at the 20-day moving average of $11.79. The $11.25 1/2 fresh low scored this morning is nearby support with the lower Bollinger Band just above that at 11.30. WHEAT: Wheat trade is 9-13 cents higher at midday with trade seeing mostly firmer spread action while trying to consolidate the stronger start to the week with further follow-through needed to get trade excited with the upfront inverses persisting. The Plains will see warmer-than-normal temps persist into March with a midweek cold snap and better moisture possibilities into mid-month. The dollar has shifted sideways with Matif wheat holding just above the recent lows with light strength this morning. On the KC March chart, resistance is at the 20-day moving average at $5.97 1/2, which we are just below. Support is the fresh low at $5.63 with the lower Bollinger Band just below that at $5.55. David Fiala can be reached at dfiala@futuresone.com. Follow him on X, formerly Twitter, @davidfiala. (c) Copyright 2024 DTN, LLC. All rights reserved.