DTN Midday Grain Comments 03/30 10:51

DTN Midday Grain Comments 03/30 10:51 Corn, Soybean, Wheat Futures Higher at Midday Corn futures are 14 to 15 cents higher at midday Wednesday; soybean futures are 22 to 27 cents higher; wheat futures are 8 to 22 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is weaker with the DOW 65 points lower. The U.S. Dollar Index is 60 points lower. Interest rate products are firmer. Energies are firmer with crude up 3.50. Livestock trade is mixed with hogs leading. Precious metals are firmer with gold up 23.00. CORN: Corn futures are 14 to 15 cents higher at midday with trade seeing firmer spread action as we come further off the lows seen Tuesday as energies rebound and hopes for progress towards peace are muted again with position squaring also likely to pick up pre-report. On the stocks and acres report Thursday, trade is looking for corn stocks to be at 7.877 billion bushels (bb) and acres at 92.00 million, putting stocks 200 million bushels (mb) ahead of a year ago and acres 1.3 million below a year ago. Ethanol margins will remain tight with the stocks overhang needing to be cleaned up into summer with the weekly report showing production down 6,000 barrels per day (bpd) while stocks continue to bloat, up 381,000 barrels to the third largest on record with peak lockdown time the only time bigger. On the May contract chart, we have resistance at the 20-day moving average at $7.48, which we tested before fading, and support at the lower Bollinger Band at $7.29, which we bounced off Tuesday. SOYBEANS: Soybean futures are 22 to 27 cents higher at midday with better action during the day session as firmer spread action develops and meal leads the product complex. Meal is $9.50 to $10.50 higher and oil is 80 to 90 points higher. The report Thursday is expected to show stocks at 1.902 bb and acres at 88.73 million versus 1.562 billion in stocks last year and 87.2 million acres last year. Energy weakness could trigger more selling if it returns with South America pushing deeper into harvest to improve availability. New crop has struggled to hold any advantage to corn, which could change post report. USDA announced 128,000 metric tons (mt) sold to Mexico for new crop on the daily wire. On the May soybean chart, we have resistance at the 20-day moving average at $16.75, which we are testing at midday, with the lower Bollinger band at $16.35 1/4 as support, which we bounced off Tuesday. WHEAT: Wheat futures are 8 to 22 cents higher at midday with early two-sided action turning stronger into the day session after the early weakness as immediate peace prospects fade and position-squaring picks up pre-report. Hard red wheat is leading so far with KC back to a 15-cent premium versus Chicago and -8 cents versus Minneapolis. Plains weather looks to be closer to seasonal norms in the short term after the recent rains for many, with the dollar sliding to boost world export competitiveness a bit. The report is expected to show all wheat acres at 47.77 million versus 46.70 million last year and stocks at 1.045 bb versus 1.311 bb last year. The KC May chart has resistance at the 20-day moving average at $11.13, with support the lower Bollinger Band we are tested and bounced from Tuesday at $10.02. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.