DTN Midday Grain Comments 03/08 10:46

DTN Midday Grain Comments 03/08 10:46 Corn, Soybean Lower While Wheat Higher at Midday Friday Corn trade is 3-4 cents lower. Beans are 8-10 cents lower and wheat trade is 3-6 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is mixed at midday with the S&P 1 point lower. The dollar index is 15 points lower. The interest rate products are mixed. Energies have crude $1.30 lower and natural gas off $.02. Livestock trade is mostly lower. Precious metals are mixed with gold up $16.50. CORN: Corn trade is 3-4 cents lower at midday with trade fading off the top of the range with pre-report position squaring and little other fresh news. 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 but trade has noted record accumulated sales to Mexico so far this year. 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 $4.29 is nearby support which has pushed above yesterday with the upper Bollinger Band at $4.45 the next round-up. SOYBEANS: Soybean trade is 8-10 cents lower at midday with product action softer along with spread action as trade works to consolidate just short of resistance in pre-report action. Meal is $1 to $2 lower and oil is 120 to 130 points lower. 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's harvest to keep moving along as it heads towards the backstretch with Argentina continuing to progress in the growing season with little near-term change. The daily wire is quiet to close the week. Basis should remain flat short term domestically as March goes into delivery. The May soybeans have resistance at the 20-day moving average at $11.64, which we are back 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 3-6 cents higher at midday with trade looking to hold the rebound into the weekend after the active trade this week with slightly softer spread action so far and little change expected on the report. The USDA confirmed another 110,000 metric tons of soft red wheat canceled by China today. On the report, trade is looking for carryout virtually unchanged at 657 million bushels. The Plains will see warmer-than-normal temps persist into midmonth 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 holding its rebound so far as well. On the KC May chart, resistance is at the 20-day moving average at $5.77, which we are just above at midday. 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.