DTN Midday Grain Comments     09/21 10:56

   Corn, Soybean, Wheat Futures Lower at Midday

   Corn futures are 5 to 6 cents lower at midday Thursday; soybean futures are 
19 to 21 cents lower; wheat futures are 10 to 13 cents lower.

David M. Fiala
DTN Contributing Analyst

MARKET SUMMARY:

   Corn futures are 5 to 6 cents lower at midday Thursday; soybean futures are 
19 to 21 cents lower; wheat futures are 10 to 13 cents lower. The U.S. stock 
market is sharply weaker with the S&P off 55. The U.S. Dollar Index is 25 
points higher. Interest rate products are weaker. Energies are mixed with crude 
.85 higher and natural gas off .03. Livestock trade is sharply lower. Precious 
metals are weaker with gold 30.00 lower.

CORN:

   Corn futures are 5 to 6 cents lower at midday with trade once again pulling 
back from a test of resistance levels. Harvest will continue to make better 
short-term progress and there is negative spillover from outside markets. 
Ethanol margins should remain stable in the near term with signs of driving 
demand rebounding. The daily export wire saw 137,100 metric tons (mt) corn sold 
to Mexico. Weekly export sales were a bit softer at 566,900 mt. Basis could 
find some short-term strength ahead of the expected slowdown for weekend rains. 
On the December chart the 20-day moving average at $4.82 3/4 remains as 
resistance, with the fresh low at $4.67 3/4 as support.

SOYBEANS:

   Soybean futures are 19 to 21 cents lower at midday with selling returning 
overnight as we fade back to the $13.00 area with harvest pressure and demand 
concerns continuing. Meal is 4.00 to 5.00 lower and oil is 55 to 65 points 
lower. Weekly export sales were soft at 434,100 mt of beans; 12,700 mt of old 
meal; 439,100 mt new meal; and 700 of oil. Basis will erode more into harvest 
with river concerns remaining as the Mississippi River is near the lowest flows 
of the year with more than one rain system needed to improve things. South 
American weather is keeping rains to Southern Brazil and Northern Argentina so 
far with planting to expand into the end of the month with better rains to the 
north next week. November chart support is the Lower Bollinger Band at $13.14, 
which we are below, then $13.00, which we are testing at midday; resistance is 
the 20-day moving average at $13.58.

WHEAT:

   Wheat futures are 10 to 13 cents lower at midday with spillover pressure 
from row crops weighing with heavier selling during the day session. The dollar 
is stronger after British interest rates were held steady with expectations of 
higher for longer rates in the U.S. lingering. Matif wheat is working lower at 
midday as well. Plains planting progress should be boosted by potential 
moisture in the extended forecast. Trade is watching to see how Black Sea 
traffic out of Ukraine picks up. Weekly export sales remained lackluster at 
307,700 mt of old; 14,000 mt of new. On the KC December chart, the 20-day 
moving average at $7.38 is resistance with support the lower Bollinger Band at 
$7.12, which we are just above.

   David Fiala can be reached at dfiala@futuresone.com 

   Follow him on X, formerly Twitter, @davidfiala




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