Corn Lower at Midday
Grain trade is lower at midday with December corn reaching new lows.By David Fiala DTN Contributing Analyst
General Comments
The U.S. stock markets are higher with the Dow futures up 150. The interest rate products are lower. The dollar index has been is 28 higher. Energies are flat to lower with crude off $0.20. Livestock trade is mostly higher with feeders sharply higher. Precious metals are lower with gold down $7.
CORN
Corn trade is around a nickel lower on old crop and a dime lower on new with limited fresh news. The negative action on Monday has provided follow-through selling. The weekly progress was in line with expectations at 4% planted versus 26% last year and the 16% five-year average. The current weather system is expected to keep it wet with a warm up expected after that; this is what our market action is illustrating. Any turn in the forecasts to wetter or cooler would have the potential for a bigger upside pop. China is thought to have purchased new crop corn, but USDA confirmation has been lacking. Ethanol margins remain strong in the near term. December chart support is now at $5, with resistance at the early April low at $5.25. The 20-day is next resistance up at $5.42. Remember May option expiration is this Friday.
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http://sweetfutures.com/2013/dtn-midday-comments-on-grains-5/
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