DTN Midday Grain Comments 03/07 14:14

DTN Midday Grain Comments 03/07 14:14 Corn, Soybean, Wheat Futures All Higher at Midday Corn futures are 7 to 8 cents higher at midday Thursday; soybean futures are 10 to 12 cents higher; wheat futures are 5 to 21 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 7 to 8 cents higher at midday Thursday; soybean futures are 10 to 12 cents higher; wheat futures are 5 to 21 cents higher. The U.S. stock market is firmer at midday with the S&P 40 points higher. The U.S. Dollar Index is 40 points lower. The interest rate products are mostly firmer. Energies have crude .30 lower and natural gas off .06. Livestock trade is mixed. Precious metals are firmer with gold up $4.50. CORN: Corn trade is 7 to 8 cents higher at midday with trade pushing through nearby resistance overnight amidst broad risk on trade for Ags ahead of the WASDE report tomorrow. Ethanol margins will be pressed by the gains in corn with better driving demand needed to sustain improvement. On the WASDE report, trade is looking for carryout at 2.159 billion bushels domestically, down slightly from last month, along with Brazil production easing slightly lower. The daily wire was quiet today with weekly sales remaining solid at 1.11 million metric tons. Basis should remain sideways short term with early fieldwork limiting movement a little. Early second crop corn should continue to progress in Brazil with planting pace ahead of average with eyes turning towards longer term weather into the heart of the growing season. On the May chart the 20-day at $4.31 is nearby resistance which have pushed above at midday with the Lower Bollinger Band at $4.12 just above the $4.06 3/4 fresh low as support. SOYBEANS: Soybean trade is 10 to 12 cents higher at midday with trade pushing to resistance levels overnight with broad product strength. Meal is 1.50 to 2.50 higher and oil is 95 to 105 points higher. On the WASDE report, trade is looking for domestic carryout at 319 million bushels, up slightly from last month with Brazil production expected to be lowered slightly. South American weather should allow for Brazil harvest to keep moving along as it heads towards the backstretch with Argentina continuing to progress in the growing season. The daily wire was quiet today with weekly sales rebounding at bit at 613,500 metric tons old crop, 66,000 of new, meal at 157,700 of old, and 64,700 of new, and oil strong at 29,900. Basis should remain flat short term domestically as March goes into delivery. The May soybeans have resistance at the 20-day moving average at $11.65 which we are just below at midday. The $11.30 1/4 fresh low scored last week is nearby support with the lower Bollinger Band just below that at 11.24. WHEAT: Wheat trade is 5 to 21 cents higher at midday with trade bouncing back with the weaker dollar and firmer Euro values with bigger short covering still needing to develop to sustain a rally with KC back to nearby resistance levels. On the report, trade is looking for carryout virtually unchanged at 657 million bushels. The plains will see warmer than normal temps persist into mid-month with better moisture possibilities next week with early growth ahead of normal overall. The dollar is edging to fresh multiweek lows while MATIF wheat is working on a reversal from fresh lows. Weekly export sales were range bound at 271,100 metric tons old crop, and 640,000 of new. On the KC May Chart, resistance is at the 20-day moving average at $5.78. Support is the fresh low at $5.51 3/4 with the lower Bollinger Band just below that at $5.53. David Fiala can be reached at dfiala@futuresone.com. Follow him on X, formerly Twitter, @davidfiala. (c) Copyright 2024 DTN, LLC. All rights reserved.