DTN Midday Grain Comments 07/05 11:15

DTN Midday Grain Comments 07/05 11:15 Grains Mixed at Midday Soybeans are the strongest market at midday, with wheat seeing wild trade, and corn seeing mild trade. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow down 20. The interest rate products are higher. The dollar index is 12 points higher. Energies are lower with crude down 1.70. Livestock trade is mixed with hogs leading. Precious metals are mixed with gold up $6.60. CORN Corn trade is mixed at midday with a continued warm and dry forecast for the west keeping the market nervous. Some more mild conditions expected for the east are limiting upside. The weekly conditions will be out this afternoon; the trade will be looking for a slight decline again with maturity near normal. The weekly ethanol production report will be delayed with the holiday with margins seeing pressure again with the washout in the energy complex today. On the December chart, support is the 20-day at $3.91, with the 200-day at $3.87. Resistance remains at the 12-month high printed 4 weeks ago at $4.09; the Monday high was within 2 cents and our high around the open within 4 cents from the 12-month high. SOYBEANS Soybean trade is 6 to 9 cents higher at midday with weather continuing to push trade around with nearby demand remaining solid along with the narrower than expected acres seen last week. Meal is $3 to $4 higher and oil is 10 to 20 lower. Pressure from outside markets, especially slipping crude is noted for the bean oil weakness that is pulling beans around a dime off our early highs at midday. Conditions are expected to decline 1-2% with maturity running at near normal levels. Basis has been steady so far on the rally, but has started to widen at some processors. On the November chart we fully above the 200-day at $9.81 on Monday so support levels to note are the 100-day at $9.75 then the 50-day at $9.46. Resistance is at our daily high of $9.97 then $10. WHEAT Wheat trade is 2 to 10 cents lower at midday with wild trade. Minneapolis has seen over a 90 cent trading range. Warm weather in the spring wheat areas has the market concerned, but spring wheat was in overbought conditions when trading around 50 higher on the open this morning. Minneapolis has seen a $3 range over the past month and a half. The weekly condition report should show harvest closing in on 60% done for winter wheat, with spring wheat conditions down another 2-4%. The July WASDE report will provide further direction on yields, along with the status of the European and Russian crops that have declined in recent weeks. On the December Kansas City contract, support is the 10-day at $5.21 with resistance at $5.90 which was a high printed last June. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered Advisor. He can be reached at [email protected] Follow him on Twitter @davidfiala (BAS) Copyright 2017 DTN/The Progressive Farmer. All rights reserved.