DTN Midday Grain Comments     09/12 10:49

   Soybean, Wheat Futures Higher at Midday; Corn Mixed

   Corn futures are narrowly mixed at midday Thursday; soybean futures are 6 to 
8 cents higher; wheat futures are 3 to 7 cents higher.

David M. Fiala
DTN Contributing Analyst

MARKET SUMMARY:

   Corn futures are narrowly mixed at midday Thursday; soybean futures are 6 to 
8 cents higher; wheat futures are 3 to 7 cents higher. The U.S. stock market is 
mixed at midday with the S&P 7 points higher. The U.S. Dollar Index is 8 points 
lower. The interest rate products are weaker. Energy trade has crude 2.00 
higher and natural gas .08 higher. Livestock trade is lightly mixed. Precious 
metals are mixed with gold off 10.00.

CORN:

   Corn futures are narrowly mixed with early strength fading as we head toward 
the report as positions get squared ahead of it. On the report, traders are 
looking for yield at 182.5 bushels per acre (bpa) versus 183.1 bpa last month 
with domestic carryout at 2.012 billion bushels (bb) versus 2.073 bb last 
month. Ethanol margins are getting some support with unleaded continuing to 
firm off the lower end of the range. Weather looks to mostly keep maturity 
moving forward ahead of wetter weather toward the end of the second week for 
much of the belt with above average harvest progress likely to continue until 
then. Basis action will likely continue to fade into midmonth as more bushels 
become available. The daily export wire saw 118,626 metric tons (mt) sold to 
unknown Thursday. Weekly export sales were OK at 666,500 mt for new crop with 
46,500 mt canceled for old crop. On the December chart, the 20-day moving 
average at $4.00 is support with the next round up at the Upper Bollinger Band 
at $4.14.

SOYBEANS:

   Soybean futures are 6 to 8 cents higher at midday with trade staying in the 
recent range ahead of the report. Meal is 1.00 to 2.00 higher and oil is 65 to 
75 points higher. On the report, traders are looking for yields at 53.3 bpa 
versus 53.2 bpa last month and carryout at 561 million bushels (mb) versus 560 
mb last month. Warmer weather should continue to push maturity in much of the 
belt with early harvest likely to ramp up quickly into the second half of the 
month, depending on rains next week. Better rains have entered the second week 
forecast for part of Brazil. Weekly export sales were strong at 1.474 million 
metric tons (mmt) for new crop; 279,000 mt of new crop meal; and 1,700 of oil; 
with old crop at 94,600 mt of beans; -3,000 of meal; and 500 of oil. Basis 
should fade a bit more in the short term with the export program likely to take 
up some of the immediate slack. The November chart support is at the 20-day 
moving average of $9.90, with the Upper Bollinger Band at $10.29 as the next 
level of resistance.

WHEAT:

   Wheat futures are 3 to 7 cents higher ahead of the report with trade 
pressing into fresh highs for the move on KC with solid spread action 
pre-report and action just off session highs. On the report, traders are 
looking for carryout at 820 mb versus 828 mb last month. Northern Hemisphere 
harvest should continue to wind down. Early Plains wheat drilling is underway 
with some wetter conditions expected into midmonth to potentially support 
emergence. The dollar is holding near the upper end of the recent range, with 
MATIF scoring a fresh high as well. Weekly export sales showed improvement at 
474,900 mt of old crop and -200 mt of new. On the KC December chart, support is 
the 20-day moving average at $5.65, with the Upper Bollinger Band at $6.01 as 
the next level of resistance.

   David Fiala can be reached at dfiala@futuresone.com

   Follow him on social platform X @davidfiala

   **

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discussion about the report at 12:30 p.m. To register for the free webinar, go 
to https://www.dtn.com/wasde-webinars/

    




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