DTN Midday Grain Comments 09/22 10:51

DTN Midday Grain Comments 09/22 10:51 Corn, Wheat Futures Higher at Midday; Soybeans Lower Corn futures are 2 to 3 cents higher at midday Thursday; soybean futures are 2 to 3 cents lower; wheat futures are 6 to 12 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 2 to 3 cents higher at midday Thursday; soybean futures are 2 to 3 cents lower; wheat futures are 6 to 12 cents higher. The U.S. stock market is weaker with the DOW down 95 points. The U.S. Dollar Index is 80 points higher. Interest rate products are weaker. Energies are mixed with crude up .60. Livestock trade is mostly lower. Precious metals are mixed with gold $1.00 higher. CORN: Corn futures are 2 to 3 cents higher at midday with two-sided trade continuing on the Fed statement, expanding harvest with action working just below the highs with spillover support from wheat. Short-term forecasts have the center of the belt drier with warmer than normal temps again into the weekend. The export wire showed action today with 105,000 metric tons (mt) of corn sold to Mexico and 101,600 sold to unknown destinations. Weekly export sales at 182,300 mt kept the pace slow. Ethanol margins will likely chop along with softer driving demand and corn values keeping pressure on for now. 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 below the Upper Bollinger band at $7.00 as the next level up, with the 20-day moving average is well below the market at $6.77. SOYBEANS: Soybean futures are 2 to 3 cents lower with choppy rangebound action continuing as trade assesses nearby demand potential and early harvest results with harvest pace to pick up into the end of the month. Meal is $7.50 to $8.50 lower, and oil is 135 to 145 points higher. South America is moving toward planting preparation with late demand picking up ahead of the U.S. export window with Brazil seeing better rain than Argentina to start. Basis will continue to shift toward 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 remained quiet with weekly sales soft at 446,400 mt sold; meal at cancellations of 22,600 mt old crop and sales of 208,500 mt of new; oil at cancellations of 400 of old and sales of 3,000 of new. On the November soybean chart, trade has the Upper Bollinger Band at $15.01 as resistance, and the 20-day moving average below the market at $14.39. WHEAT: Wheat futures are 6 to 12 cents higher at midday with trade consolidating in the upper end of the range with political developments and weather adding support, while the strong dollar limits upside after another test of the upper end of the range. Spring wheat harvest should be effectively wrapped up, with winter wheat planting expanding with needed rains in some of the growing areas. The dollar is back near the recent highs after the guidance remains for increasing rates with MATIF prices snapping back to the upper end of the range on political concerns. Weekly export sales were a bit soft at 183,500 mt. The KC December chart has support at the 20-day moving average at $9.15, and the Upper Bollinger band at $9.76, which we tested overnight. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.