DTN Midday Grain Comments 07/10 11:08

DTN Midday Grain Comments 07/10 11:08 All Grains Higher at Midday Trade is solidly higher across the board at midday. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are near unchanged with the Dow up 5 points. The interest rate products are lower. The dollar index is 7 points higher. Energies are higher with crude up 0.50. Livestock trade is mostly lower. Precious metals are higher with gold up $3.40. CORN Corn trade is 5 to 8 cents higher at midday with trade gapping to new highs to start the week with continued heat and dryness in the west. The forecast continues to fluctuate but the near term heat is the biggest concern with more corn pollenating. Ethanol margins continue to struggle with the energy complex weak and corn firming, but ethanol futures have been able to turn slightly higher at midday. Basis has been mostly steady on the rally with spread trade staying near term stable with old crop supplies laying on the the market. The weekly export inspections were ok at 965,608 metric tons. Weekly crop progress should show a slight decline in conditions, and maturity continuing to lag. On the December chart, support is the overnight gap at $4.04 3/4, with the upper bolliger band resistance at $4.13 3/4 which we have tested this a.m., with a high at $4.15. SOYBEANS Soybean trade is 18 to 23 cents higher at midday with the forecast helping to accelerate the rally started with the acre report with conditions expected to decline further this afternoon. Meal is $7 to $8 higher and oil is 75 to 85 higher. Soybeans still have a way to go until the key reproductive season, but continued stress will raise concerns with conditions expected to be down 1-2% on the weekly reports, with maturity near normal. Weekly export inspections were OK at 315,099 metric tons. On the November chart, trade put in a new high at 10.39 3/4 overnight, with support the gap area at $10.15. WHEAT Wheat trade is 14 to 30 cents higher at midday with Minneapolis trade leading yet again as the Dakotas and Montana see exceptionally high temperatures. Further declines in crop conditions are expected with winter wheat harvest moving past 66% complete. The July WASDE report will provide further direction on yields on Wednesday along with abandoned acres to the north. The weekly wheat export inspections were solid at 629,070 metric tons. On the December Kansas City contract, support is the 10-day at $5.48 with resistance at $6.02 which was the new high printed earlier in the week. 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.