DTN Midday Grain Comments 09/26 10:44

DTN Midday Grain Comments 09/26 10:44 Grains Lower at Midday Corn trade is 5 to 6 cents lower, beans are 5 to 7 cents lower and wheat is 7 to 12 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is mixed with the Dow down 185 points. The dollar index is 45 points higher. Interest rate products are weaker. Energies are mixed with crude up $0.40. Livestock trade is mixed with cattle leading. Precious metals are mixed with gold $5.50 lower. CORN: Corn trade is 5 to 6 cents lower at midday with risk-off trade continuing with the negative outside market environment along with expanding harvest to open the week. Short-term forecasts have the center of the Corn Belt drier with warmer-than-normal temps again into the weekend, which should keep harvest progress around the five-year average on the weekly Crop Progress report Monday afternoon. Steady conditions are expected, and overall maturity is expected to remain slightly behind average. The export wire will need to show more life soon with nothing today, and weekly inspections disappointing at 459,420 metric tons. Ethanol margins will likely chop along with softer driving demand and corn values keeping pressure on for now with natural gas fading a little to add support. Basis will be watched to see how quickly we go to harvest footing everywhere, 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 just below the 20-day at $6.78 with the lower Bollinger Band at $6.60 as support. SOYBEANS: Soybean trade is 5 to 7 cents lower at midday. The trade is continuing to work the lower end of the range to start the week with the outside market pressure and expanding harvest along with OK early progress for planting in South America. Meal is $3.50 to $4.50 lower, and oil is 55 to 65 points lower. South America has early planting underway with late demand picking up ahead of the U.S. export window with the stronger dollar potentially pushing that further out with Brazil in better shape than Argentina early on. 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. Inspections were soft again at 257,547 metric tons with some further near-term basis pressure expected into October. The daily wire has been quiet recently. Weekly Crop Progress is expected to show harvest near the five-year average, with steady conditions and maturity just slightly behind average overall. On the November soybean chart, trade has the 20-day at $14.36, which we closed below Friday at resistance, with the lower Bollinger band at $13.76. WHEAT: Wheat trade is 7 to 12 cents lower. The trade is following the row crops lower with two-sided action at times today. Fresh dollar highs and little fresh bullish news is pulling trade further back from the highs scored last week. Spring wheat harvest should be effectively wrapped up on the weekly report, with winter wheat planting expanding with needed rains in some of the growing areas to keep planting and emergence near the five-year averages. MATIF wheat remains near the upper end of the range with some light pressure to start the week as well. Weekly export inspections showed some strength at 520,464 metric tons. The KC December chart has support at the 20-day at $9.22, and the Upper Bollinger band at 9.84 as resistance. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.