DTN Midday Grain Comments 09/01 10:45

DTN Midday Grain Comments 09/01 10:45 Corn, Soybean and Wheat Futures All Seeing Red Midday Thursday Corn trade is 8 to 9 cents lower; beans are 18 to 20 cents lower and wheat is 20 to 27 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn trade is 8 to 9 cents lower; beans are 18 to 20 cents lower and wheat is 20 to 27 cents lower. The U.S. stock market is weaker with the Dow down 120 points. The U.S. Dollar Index is 100 points higher. Interest rate products are weaker. Energies are weaker with crude down $2.70. Livestock trade is mixed with cattle leading. Precious metals are weaker with gold $18.00 lower. CORN: Corn trade is 8 to 9 cents lower at midday Thursday with trade fading further back from the upper end of the range with little fresh news and outside market headwinds. Short-term forecasts have the center of the Corn Belt drier and higher temps short term, setting the stage for early harvest expansion through Labor Day weekend. The export wire will be watched for business as the extent of weekly action will remain unclear through Sept. 15 with nothing hitting the daily wire. Ethanol margins will continue to see pressure from corn, firmer natural gas and softer unleaded futures seasonally, but harvest basis will soon provide support in many areas. Basis will be watched to see how quickly we go to harvest footing and how aggressively the west will bid for corn in the deficit areas. On the December chart, trade is remains below the upper Bollinger Band at $6.86 with $7.00 the next level up, with the 20-day well below the market at $6.38. SOYBEANS: Soybean trade is 18 to 20 cents lower at midday with trade again pressing towards the 14.00 area on the November contract with pressure coming from the oil side of the complex Thursday morning. Meal is $2.50 to $3.50 higher and oil is 2.90 cents to 3.20 cents lower. South America is moving towards planting preparation as the export advantage will begin to shift to the U.S. over the next few weeks. Weather looks to remain mostly dry short term, keeping maturity moving along with early harvest just around the corner now. The daily wire showed 396,000 metric tons of soybeans sold to unknown, keeping the streak of sales this week going. Basis will continue to shift toward harvest footing with trade watching to see how quickly export shipments pick up. On the November soybean chart, resistance is the 20-day at 14.25, which we closed just below Wednesday, with the lower Bollinger Band at $13.78 below the market. WHEAT: Wheat trade is 20 to 27 cents lower at midday with pressure from the stronger dollar and demand concerns balancing with poor Northern Hemisphere weather and unclear prospects for Ukraine fall plantings and export. Weather in the Plains remains a bit mixed short term with more moisture needed to boost emergence this fall especially in Kansas, while spring harvest will continue to move along. The dollar is testing the highs with interest rate outlooks remaining in focus with MATIF prices remaining mostly rangebound as well, despite the U.S. weakness Thursday morning. Fertilizer production in Europe will continue to be watched as well with some plants offline again. The KC December chart has support at the 20-day at $8.76, which we are trying to consolidate above, with the lower Bollinger Band at $8.28 as further support and the upper Bollinger Band at $9.24 as resistance. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.