DTN Midday Grain Comments 05/24 12:00

DTN Midday Grain Comments 05/24 12:00 Corn, Soybeans Mixed at Midday Trade is slow at midday with narrowly mixed markets. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are higher with the Dow futures up 30. The interest rate products are lower. The dollar index is narrowly mixed. Energies are lower with crude down 0.10. Livestock trade has cattle sharply lower, and hogs mixed. Precious metals are lower with gold $3.20 lower. CORN Corn trade is narrowly mixed at midday with trade staying in the middle of our monthly range; our daily range has been 3 cents. The market focus is on near term weather forecasts. Soggy conditions are expected to continue this week in much of the belt which is limiting downside. The western and northern areas of the belt are dry which is also limiting downside. But as an aggregate planting progress is normal at this juncture so yield potential remains around trend line in the minds of traders. The weekly ethanol production number was down 1.66% and stocks down 3.12% with summer driving season getting going; gasoline demand was 2.67% higher. Ethanol futures are slightly higher at midday. On the July chart support is at the 20-day at $3.70. Resistance is at the May $3.79 high. SOYBEANS Soybean trade is narrowly mixed at midday with trade still working the lower end of the range after the selling pressure last week. Meal is flat to $1 higher and oil is flat to 10 lower. Trade will continue to watch the currency moves out of South America with some U.S. export movement still noted. Basis is steady to firm with the weaker futures of recent days. Weather is not perfect but it is nothing for the market to be excited about so most expect slow trade this afternoon with continued mixed trade. The daily range has been 5 lower to 4 higher on the July board. July beans have support at the longer term low of $9.40, with the weekly low of $9.42 just above that, with resistance at 10-day moving average of $9.59. WHEAT Wheat trade is 1 to 4 cents higher at midday with the higher protein wheats leading at midday. Early harvest has been lower yields and protein than expected so far but we are still always from significant harvest pressure, with the protein spreads remaining active. The dollar rebounded yesterday, but remains just above 97 on the index with quiet trade today. World weather will continue to gain importance with concerns about wet weather in Canada and dry pockets elsewhere. On the July Kansas City contract support is the recent low at $4.21, with the 10-day at $4.33 as resistance, which we are just above at midday with the 50-day at $4.38 the next round up from there. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered Advisor. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (BAS) Copyright 2017 DTN/The Progressive Farmer. All rights reserved.