DTN Midday Grain Comments 09/21 10:51

DTN Midday Grain Comments 09/21 10:51 Grains Mostly Lower at Midday Corn trade is 6 to 7 cents lower; beans are 10 to 12 cents lower and wheat is flat to 5 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is firmer with the Dow up 135 points. The Dollar Index is 80 points higher. Interest rate products are mostly higher. Energies are weaker with crude down 1.20. Livestock trade is mostly higher. Precious metals are mixed with gold $4.00 higher. CORN: Corn trade is 6 to 7 cents lower at midday with trade continuing to chop below the recent highs with trade waiting for the Fed rate hike and statement along with assessing the impact of recent Russia/Ukraine developments regarding partial mobilization. Short term forecasts have the center of the belt drier with warmer temperatures short term to keep harvest expansion moving along with occasional showers to slow some areas midweek before drying into the weekend. The export wire remains quiet short term. Ethanol margins will likely chop along with softer driving demand offsetting cheaper corn values short term as harvest basis helps with the weekly report showing ethanol production down 62,000 barrels per day, with stocks down 342,000 barrels. 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 into early harvest with some areas starting to show more strength. On the December chart, trade is remains below the Upper Bollinger band at $7.01 as the next level up, with the 20-day well the below the market at $6.75. SOYBEANS: Soybean trade is 10 to 12 cents lower at midday as trade fades off the early strength as corn and wheat momentum slows and fresh news remains limited with harvest to expand into the end of the week. Meal is 2.00 to 3.00 higher and oil is 35 to 45 points higher. South America is moving towards planting preparation with late demand picking up ahead of the U.S. export window with Brazil seeing better rain that Argentina to start. Basis will continue to shift towards harvest footing with trade watching to see how quickly export shipments pick up into the end of the month with some further near-term basis pressure expected. The daily wire was quiet after the small sale to start the week. On the November soybean chart, trade has the Upper Bollinger Band at $15.01 as resistance, and the 20-day below the market at $14.39. WHEAT: Wheat trade is flat to 5 cents higher at midday with trade fading from the surge higher after Putin's announcement of partial mobilization while we hold onto the sharp Tuesday gains to keep action working at the top of the recent range with firmer spread action and trade able to battle back from early day session profit taking. Spring wheat harvest should be effectively wrapped up, with winter wheat planting expanding with needed rains expected for some of the growing areas. The dollar is back near the recent highs with interest rate outlooks remaining in focus with MATIF prices snapping back to the upper end of the range on the political concerns. The KC December chart has support at the 20-day at $9.11, and the Upper Bollinger band at 9.69 which is where we are trading at midday. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.