DTN Midday Grain Comments 11/10 11:01

DTN Midday Grain Comments 11/10 11:01 Corn, Soybean, Wheat Futures Lower at Midday Corn futures are 4 to 6 cents lower at midday Thursday; soybean futures are 18 to 20 cents lower; wheat futures are 2 to 7 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 4 to 6 cents lower at midday Thursday; soybean futures are 18 to 20 cents lower; wheat futures are 2 to 7 cents lower. The U.S. stock market is sharply firmer with the DOW up 990 points. The U.S. Dollar Index is 220 points lower. Interest rate products are firmer. Energies are mostly higher with crude up .90 and natural gas up .25. Livestock trade is mixed. Precious metals are firmer with gold up 36.00. CORN: Corn futures are 4 to 6 cents lower with trade continuing to grind at the lower end of the range with little fresh bullish news to encourage buying as we edge toward oversold conditions. The WASDE report showed yield up .4 bushels per acre (bpa) to 172.3 on the month with domestic carryout 10 million bushels (mb) higher to 1.182 billion bushels (bb) and world stocks down slightly to 300.8 million metric tons (mmt). Weekly export sales were disappointing at 265,300 metric tons (mt), but we did see the second daily wire sale of the week with 209,931 mt sold to Mexico. Ethanol margins remain rangebound with corn values and driving demand choppy short term. Fall fertilizer should be able to make better progress short term as temps cool back down into the weekend for most. Basis will likely remain mixed with river issues persisting while the market works to move bushels west with rains hopefully boosting navigation possibilities near term. On the December chart, trade is just below the lower Bollinger Band at $6.64 with the fresh low at $6.55 3/4 below that and the 20-day moving average well above current action at $6.83. SOYBEANS: Soybean futures are 18 to 20 cents lower with broad selling during the day session with ag weakness and little fresh bullish bean news. Meal is $11.00 to $12.00 lower and oil is 90 to 100 points higher. On the report, yield edged .4 bpa higher to 50.2 bpa, with carryout rising 220 mb from 20 last month, and world stocks rising to 102.2 mmt from 100.5 mmt last week. Basis may ease if board strength is sustained, and late week rains add to river improvement with some gains in flow to start the week. Trade will see increasing focus on South American weather coming forward with mixed forecasts, with shipping concerns easing from Brazil. Weekly export sales were disappointing at 794,800 mt sold, with meal at 170,200 mt and oil at 2,700. On the January chart, trade remains above the 20-day moving average at $14.16 with the Upper Bollinger Band just above current action at $14.73, as well as the fresh high at $14.69. WHEAT: Wheat futures are 2 to 7 cents lower with broad two-sided action continuing as trade has struggled to hold gains as we move near oversold conditions and remain in wait-and-see mode on politics and weather. Spread action is flat so far. Fresh political developments will be watched with the initial end date for the Ukraine grain corridor coming up at mid-month and Russia apparently withdrawing from Kherson on Wednesday. Carryout was down slightly domestically to 571 mb from 576 mb last month, and world at 267.8 mmt versus 267.5 mmt last month rising slightly. The Plains could see better moisture in the west in the second week with significant ground to make up with snow potential for some of the driest areas. Argentina continues to struggle with dryness as well while Australia sees flooding. Weekly export sales improved a little bit at 322,500 mt. On the chart, KC December action is below the 20-day moving average at $9.46 with the lower Bollinger band at $9.15 as further support, which we held on a test of so far. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.