DTN Midday Grain Comments 08/27 10:52

DTN Midday Grain Comments 08/27 10:52 Corn, Soybean, Wheat Futures All Higher at Midday Corn futures are 3 to 5 cents higher at midday Tuesday; soybean futures are 2 to 4 cents higher; wheat futures are 8 to 10 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 3 to 5 cents higher at midday Tuesday; soybean futures are 2 to 4 cents higher; wheat futures are 8 to 10 cents higher. The U.S. stock market is mixed at midday with the S&P unchanged. The U.S. Dollar Index is 10 points lower. The interest rate products are weaker. Energy trade has crude 1.40 lower and natural gas .03 lower. Livestock trade is firmer with cattle leading. Precious metals are mixed with gold off .30. CORN: Corn futures are 3 to 5 cents higher with trade firming after testing the lows again overnight with broader risk-on trade in ag contracts Tuesday morning. Ethanol margins should remain mostly rangebound with Labor Day coming up as the last big travel weekend of the summer with the switch to fall blends to narrow blender margins. Weather looks to mostly keep maturity moving forward ahead of cooler weather into the start of September. The weekly crop progress report showed good to excellent down 2 percentage points to 65% and 13% poor to very poor with 11% mature versus 6% on average; 46% dented versus 42% on average; 84% in the dough versus 83% on average. Basis action will likely continue to fade toward harvest with early harvest getting underway. The daily export wire saw 127,260 metric tons (mt) sold to Mexico for new crop. On the December chart, the 20-day moving average at $3.98 is resistance with the fresh low at $3.85 scored Monday as support. SOYBEANS: Soybean futures are 2 to 4 cents higher at midday with light early selling turning back to buying with meal leading product action and trade working just below nearby resistance. Meal is 2.00 to 3.00 higher and oil is flat to 10 points lower. Warmer weather looks to ease a bit with the bigger cooldown expected next week. The weekly crop progress report showed good to excellent down 1 percentage point to 67% with 9% poor to very poor; 6% dropping leaves versus 4% on average; 89% setting pods versus 88% on average. Basis looks to fade further as November becomes the front month. The November chart resistance is at the 20-day moving average of $9.91 3/4, which we have tested Tuesday morning, with support the recent low at $9.36. WHEAT: Wheat futures are 8 to 10 cents higher at midday as we extend the bounce from the fresh lows scored Monday and ease the deeply oversold conditions. Northern Hemisphere harvest should be on the downhill run now, although likely slowed in the U.S. by Monday's storms. Weekly crop progress showed harvest at 51% versus 53% on average with conditions off 4 percentage points to 69% good to excellent and 10% poor to very poor for the last condition report of the year. The dollar is holding just above fresh lows, with MATIF wheat rebounding from fresh lows as well. On the KC December chart, resistance is the 20-day moving average at $5.59, with the fresh low at $5.27 1/4 as support. David Fiala can be reached at dfiala@futuresone.com Follow him on social platform X @davidfiala (c) Copyright 2024 DTN, LLC. All rights reserved.