DTN Midday Grain Comments 11/28 11:05

DTN Midday Grain Comments 11/28 11:05 Soybean Futures Higher at Midday; Corn, Wheat Lower Corn futures are 2 to 3 cents lower at midday Monday; soybean futures are 7 to 8 cents higher; wheat futures are 9 to 21 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 2 to 3 cents lower at midday Monday; soybean futures are 7 to 8 cents higher; wheat futures are 9 to 21 cents lower. The U.S. stock market is weaker with the DOW off 240 points. The U.S. Dollar Index is 30 points higher. Interest rate products are firmer. Energies are narrowly mixed with crude off .55 and natural gas off .18. Livestock trade is weaker. Precious metals are weaker with gold off 12.00. CORN: Corn futures are 2 to 3 cents lower at midday with negative spillover from outside markets continuing to limit upside in the absence of broad fresh bullish news. The daily export wire will be watched to see if sales pick up again as we fade to the lower end of the range and come out of the holiday break with nothing Monday. Spread action is firmer ahead of March becoming the front month. Ethanol margins remain rangebound with corn values and driving demand expected to slow further until closer to Christmas travel. Basis has remained steady as transportation issues get worked on with the West starting to soften a bit in spots. Export inspections remained poor at 302,350 metric tons (mt). On the December chart, trade is solidly above the lower Bollinger Band at $6.46 with the fresh low at $6.52 3/4 just above that and the 20-day moving average above current action at $6.70. SOYBEANS: Soybean futures are 7 to 8 cents higher at midday with trade remaining solidly rangebound with South American weather remaining mixed, and energy spillover limiting upside, along with Argentina export incentives. Meal is $3.50 to $4.50 higher, and oil is 70 to 80 points higher. Basis has held together well with little change in recent days. The daily export wire has been limited in recent days with China demand likely to be an ongoing concern with the continued shutdowns and unrest going forward. However, we did see 110,000 mt sold to unknown Monday. Weekly export inspections softened a bit at 2.022 million metric tons (mmt). On the January chart, trade is working just above the 20-day moving average at $14.39 with the Upper Bollinger Band above current action at $14.64, as well as the fresh high at $14.69, and further support the lower Bollinger Band at $14.14. WHEAT: Wheat futures are 9 to 21 cents lower with spring wheat leading at midday, and Chicago continuing to lag with the late washout Friday sustaining the oversold conditions nearby. The dollar fading from the highs should add some support if it continues short term. The Plains look to remain mostly dry short term with cooler and wetter potential the second week. Southern Hemisphere harvest will be moving forward soon with quality issues in Australia and drought losses in Argentina. Matif wheat remains at a bit bigger premium than usual with the slight pullback Monday. Weekly export inspections were soft at 198,519 mt. On the chart, KC December action has faded below the 20-day moving average at $9.44 and the lower Bollinger band at $9.03 is further support where we find the fresh low at $8.98 scored Monday morning. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.