DTN Midday Grain Comments 09/30 10:44

DTN Midday Grain Comments 09/30 10:44 Corn, Soybean, Wheat Futures Higher at Midday Corn futures are 11 to 12 cents higher at midday Friday; soybean futures are 9 to 11 cents higher; wheat futures are 8 to 14 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 11 to 12 cents higher at midday Friday; soybean futures are 9 to 11 cents higher; wheat futures are 8 to 14 cents higher. The U.S. stock market is firmer with the DOW up 85 points. The U.S. Dollar Index is 20 points lower. Interest rate products are mixed. Energies are mixed with crude down .80. Livestock trade is mixed with hogs leading. Precious metals are firmer with gold up 14.00. CORN: Corn futures are 11 to 12 cents higher at midday with trade firming back into the middle of the range ahead of the USDA quarterly stocks report release. The stocks report is expected to show 1.512 billion bushels (bb) of corn on hand. Short-term forecasts have the center of the belt drier with warmer-than-normal temps over the next couple of weeks to keep harvest moving along. The export wire will need to show more life soon. Ethanol margins will likely chop along with softer driving demand and refinery disruptions to keep upside limited for now. 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 notable strength already, while intra-month spreads soften short term before firming slightly pre-report. On the December chart, trade is just above the 20-day moving average at $6.78 with the lower Bollinger Band at $6.59 as support. SOYBEANS: Soybean futures are 9 to 11 cents higher at midday with trade working to build further support above $14.00 after testing it earlier the week with position squaring pre-report and harvest pressure likely to limit upside into the weekend. Meal is $4.00 to $5.00 higher, and oil is 25 to 35 points lower. The stocks report is expected to show 242 million bushels (mb) on hand as of Sept. 1. South America has early planting underway with late demand picking up ahead of the U.S. export window with the dollar reversal from Thursday needing to hold. Brazil is in better shape than Argentina early on with their aggressive movement of old-crop supplies likely to run the course soon. 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 into October, along with intramonth spread weakness adding carry in recent days. The daily wire has been quiet recently, increasing the demand concerns short term. On the November soybean chart, trade has the 20-day moving average at $14.33 as resistance, with the lower Bollinger band at $13.70 as support. WHEAT: Wheat futures are 8 to 14 cents higher at midday with trade continuing to work the upper end of the range as we wait for direction from row crops post report and any fresh political developments after the Putin annexation speech this morning. Wheat stocks are expected to be at 1.776 bb this morning. The Plains look dry, short term, but enough recent rains fell in some areas to keep planting moving forward with spring harvest likely wrapped up. MATIF wheat remains near the upper end of the range with some light buying Friday and little fresh news on the grain shipment front, while Russia continues to make fresh territorial claims. The KC December chart has support at the 20-day moving average at $9.36, and the Upper Bollinger band at $9.97 as resistance. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.