DTN Midday Grain Comments 04/23 10:48
04/23/2024
DTN Midday Grain Comments 04/23 10:48
Corn, Soybean, Wheat Trading Higher by Midday Tuesday
Corn trade is flat to a penny higher. Beans are 1-2 cents higher and wheat
trade is 2-4 cents higher.
David M. Fiala
DTN Contributing Analyst
MARKET SUMMARY:
The U.S. stock market is firmer at midday with the S&P 55 points higher. The
dollar index is off 35 points. The interest rate products are firmer. Energies
are mixed with crude up .90 cent and natural gas off 1 cent. Livestock trade is
mostly higher. Precious metals are mixed with gold off $12.
CORN:
Corn is flat to a penny higher at midday with trade working to consolidate
recent gains with mixed spread action with fresh bullish news still in limited
overall supply. Ethanol margins should have narrowed a bit with the corn
rebound and unleaded gains boosting blenders a bit today after early week
struggles.
Near-term weather looks to be warmer and wetter for much of the belt which
should keep planting moving along ahead of the five-year average with the
report showing us at 12% vs. 10% on average and 3% emerged vs. 2% on average
yesterday.
The daily wire was quiet again today. The second crop in Brazil sees some
areas of dryness but overall major concerns are limited while Argentina dries
out a bit to help with the recent excess moisture. On the May chart, the 20-day
at $4.32 is nearby support which we closed just above Friday with the recent
high at $4.48 the next level of resistance.
SOYBEANS:
Soybeans are 1-2 cents lower at midday with trade working to build on the
recent rebound with product gains slowing for meal and oil. Meal is .50 cent to
$1.50 lower and oil is 5-15 points higher. Brazil harvest should be just about
wrapped up, with Argentina bushels coming soon as the South American export
season expands into late spring.
The daily wire was quiet again today. Planting progress should expand in the
drier areas with the warm-up, showing 8% vs. 4% on average on the report
yesterday. May soybean futures have support at the $11.28 recent low. Chart
resistance is at the 20-day moving average at $11.71 which we were just short
of overnight.
WHEAT:
Wheat trade is 2-4 cents higher with trade finding light buying so far.
Trade looks to hold the Monday surge to the top of the range with condition
declines and mixed outside market direction. The Plains will see seasonal to
above temps to push the crop along with better overall rain chances the next
two weeks to support development with the weekly progress report showing 17%
headed vs. 13% on average and good to excellent falling 5% to 50% and poor to
very poor rising 3% to 16% while spring wheat is 15% planted vs. 10% on average
and emergence is at 2% vs. 3% on average.
The dollar continues to work a bit short of the highs with MATIF wheat
fading back from the fresh highs scored yesterday. On the KC May chart, support
is the 20-day at $5.82, with the fresh high at $6.10 as further resistance.
David Fiala can be reached at dfiala@futuresone.com.
Follow him on social platform X @davidfiala.
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