Corn is narrowly mixed, soybeans is 10 to 11 cents higher and wheat is 2 to 6 cents higher.
The U.S. stock market is firmer with the Dow up 255 points. The U.S. Dollar Index is flat. Interest rate products are firmer. Energies are narrowly mixed. Livestock trade is weaker with hogs limit lower. Precious metals are firmer with gold up $30.00.
Corn trade is narrowly mixed at midday after working past $6.00 for a bit overnight. Spread trade is turning a bit softer during the day session with trade coming off the early session lows as new crop is staying near contract highs with nearby demand and crop progress in both hemispheres continuing to be debated. Ethanol margins should remain solid with the surge in energy values Wednesday with stocks remaining very tight.
Corn basis continues to hold firm throughout the belt. Double-crop progress in Brazil looks to have mixed weather with the dry season approaching and surging cash values locally. Weekly export sales softened at 327,700 metric tons old crop and 52,600 mt of new with some cancellations noted. On the May contract, chart resistance is the contract high at $6.01 1/2, with the upper Bollinger Band at $5.94 now just above the market, then the 20-day at $5.61 as support.
Soybeans are 11 to 12 cents higher with firmer product values leading trade back towards the upper end of the range. Meal is $6.00 to $7.00 higher and oil is 0.25 cent to 0.35 cent higher. South America is expected to continue harvest progress in Brazil with little overall weather change short term and Argentina looking stable short term. Weekly export sales remain soft at 90,400 metric tons of old crop, 265,500 mt of new crop; meal was 71,500 mt of old, 26,000 mt of new, and oil was -1,500 mt with China cancellations noted as well. The May soybean chart has support at the 20-day at $14.07, which we closed just above Wednesday with the upper Bollinger Band at 14.40 the next round up.
Wheat trade is 4 to 7 cents higher at midday with trade quickly rebounding from early selling after soft exports with cool weather and feeder demand offsetting better rains in the Plains. The downtrend in the dollar is supportive to buying as well, although it looks to be stabilizing after the recent slide. Weather in the Plains has some cold in it as well, but threats look limited so far with northwest Kansas to see temps just below freezing over the next few days. KC has narrowed back to a 47-cent discount to Chicago, with Minneapolis 18 cents above Chicago. Weekly export sales were soft at 56,600 metric tons old crop and 274,400 mt of new. KC May on the chart has support at the 20-day at $5.76 that we held Thursday, with $6.03 the next level of resistance where we find the upper Bollinger Band, which we are just above at midday.