DTN Midday Grain Comments 03/17 10:53

DTN Midday Grain Comments 03/17 10:53 Corn, Soybean, Wheat Futures Higher at Midday Corn futures are 19 to 24 cents higher at midday Thursday; soybean futures are 14 to 16 cents higher; wheat futures are 18 to 33 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 19 to 24 cents higher at midday Thursday; soybean futures are 14 to 16 cents higher; wheat futures are 18 to 33 cents higher. The U.S. stock market is mixed with the Dow 35 points lower. The U.S. Dollar Index is 50 points lower. Interest rate products are mostly higher. Energies are sharply higher with crude up $7.30. Livestock trade is weaker. Precious metals are firmer with gold up $40.00. CORN: Corn futures are 19 to 24 cents higher at midday with trade bouncing back from the fresh, short-term lows scored overnight as we try to consolidate in the lower end of the range after closing July below $7.00 for the first time in two weeks Wednesday. But we did extend our streak of trading $7.20 on strength. Ethanol margins will remain tight with stocks remaining near the 2020 highs and spring driving demand not able to pull them down just yet. The daily wire reported 136,000 metric tons (mt) sold to unknown for old crop Thursday. Weekly export sales were strong up front at 1.84 million metric tons (mmt) old crop, with new at 204,000 mt. Basis should be steadier near term with recently moved bushels snaking through the system now. Trade will continue watching South American weather as we head into second-crop development. Corn looks to be defending acres in the U.S. ahead of planting. On the May contract we have support at the 20-day moving average at $7.18 with resistance at the fresh high at $7.82 3/4. SOYBEANS: Soybean futures are 14 to 16 cents higher at midday with trade working in the lower end of the range and testing nearby support before bouncing into midday. Meal is $5.00 to $6.00 lower and oil is 115 to 125 higher. Basis is back to trending sideways for now. The active daily export sales wire has been quiet so far this week after the recent run of sales the prior two weeks. Weekly export sales were good at 1.25 mmt of old crop, 477,000 mt of new. Products were mixed at 147,400 of old crop meal and 22,600 of oil. Harvest is underway in South America with weather remaining mixed. The U.S. is holding some export competitiveness in the short term, although that is fading a bit. On the May soybean chart, we have resistance at the fresh high at $17.59 with trade testing the 20-day moving average at $16.55 as support, which is where we are bounced back above at midday. WHEAT: Wheat futures are 8 to 33 cents higher at midday with trade snapping back from the overnight test of the nearby low with intramonth spread action still weakening while we wait for U.S. moisture and to see if any real progress is confirmed in Ukraine/Russia negotiations. Winter wheat limits are $1.30 again Thursday. The dollar is backing off the highs a bit as well to boost U.S. export competitiveness on a dollar basis, although we remain elevated on the world scene. Weekly export sales improved for new crop with 145,900 mt of old, but 325,600 mt of new. Most the of Plains wheat looks warmer and wetter over the next two weeks as storm activity picks up. Chicago and KC are back to a 6-cent premium for Chicago and a 17-cent premium versus Minneapolis remains. KC May chart support is the low from last night and last week at $10.40 with resistance the $12.99 1/2 fresh high. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.