DTN Midday Grain Comments 03/21 11:04

DTN Midday Grain Comments 03/21 11:04 Grains Higher at Midday Corn trade is 20 to 22 cents higher, beans are 34 to 37 cents higher and wheat is 49 to 77 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is mixed with the Dow 130 points lower. The dollar index is flat. Interest rate products are weaker. Energies are firmer with crude up $5.50. Livestock trade is mostly higher with hogs leading. Precious metals are mixed with gold up $6. CORN: Corn trade is 20 to 22 cents higher to start the week with rangebound action continuing with spread action coming up to flat, and support from energies and geopolitical factors to start the week. Ethanol margins will remain tight with stocks remaining near the 2020 highs, with driving demand showing improvement through the weekend. The daily wire was quiet again to start, but recent sales have been bigger than the daily announcements have indicated. Basis should be steadier near term with recently moved bushels snaking through the system now with most changes a reaction to spread changes. Trade will continue watching South American weather as we head into second-crop development while corn looks to defend acres in the U.S. ahead of planting depending on fertilizer availability. Weekly export inspections remain solid at 1.466 million metric tons. On the May contract, we have support at the 20-day moving average at $7.29 with resistance at the fresh high at $7.82 3/4. SOYBEANS: Soybean trade is 34 to 37 cents higher with trade moving back to the top of the recent range with mixed spread action amid the broader strong commodity action. Meal is $4 to $5 higher, and oil is 150 to 170 points higher. Basis is back to trending sideways for now. The active daily export sales wire has been quiet in recent days despite good weekly numbers, with export inspections continuing to ease lower seasonally at 544,986 metric tons. Harvest is underway in South America with weather remaining mixed, and the U.S. still holding some export competitiveness 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 pulling away from the 20-day at $16.62 as support, which we tested several times last week. WHEAT: Wheat trade is 49 to 77 cents higher at midday with trade reversing Friday's action and then some with firmer spread action and little fresh Ukraine-Russia news with rains over much of the Plains expected the next two days. Winter wheat limits remain at $0.85 again Monday with front-month Chicago testing it at times. 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. Most of the Plains wheat looks to dry back out a bit after the current system works through with short-term moisture much better for many. Weekly export inspections remain tepid at 330,632 metric tons. Chicago and KC are back to 5-cent premium for Chicago moving a dime this morning, and a 32-cent premium vs. Minneapolis has reemerged for Chicago. KC May chart support is the low from Wednesday night and last week at $10.40 with the 20-day at $10.70 above that and resistance the recent high at $11.57. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.