DTN Midday Grain Comments 07/31 11:26

DTN Midday Grain Comments 07/31 11:26 All Grains Lower at Midday Trade is lower across the board at midday but off the overnight lows. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow futures up 75 points. The interest rate products are mixed. The dollar index is 17 points lower. Energies are mixed with crude down 0.30. Livestock trade is lower. Precious metals are mixed with gold unchanged. CORN Corn trade is 3 to 4 cents lower at midday with the cooler near-term forecast and wetter extended forecast encouraging selling to start the week. Rain looks to be lacking over the next seven days, but temperatures will be less stressful with temps several degrees below normal this week. Ethanol margins look to remain stable in the near term with the firmer energy complex. Corn basis remains soft with plenty of old-crop stocks still around with spread trade remaining soft. The weekly export inspections were good at 989,105 metric tons with crop progress showing steady to slightly weaker conditions and maturity continuing to lag normal. On the December chart support is at the new July low made last week at $3.80 1/2 with resistance at the 200-day at $3.89. SOYBEANS Soybean trade is 8 to 9 cents lower at midday with trade bouncing 6 to 8 cents off the overnight lows with the less threatening forecast. Meal is $4 lower and oil is 5 to 15 points higher. Cooler temperatures will limit stress in the week ahead but drier near-term forecasts will keep support under the market. Trade found buying overnight when it slipped below $10.00 on the November contract. Weekly export inspections remained solid at 478,186 metric tons. Weekly crop progress is expected to show conditions off slightly with maturity near normal. Basis is expected to remain mostly steady in the near term. On the November chart support is the 200-day at $9.86, with the 10.00 area key psychological support today. WHEAT Wheat trade is 1 to 5 cents lower at midday with trade bouncing back off the early lows in low volume trade with the winter wheats leading. Early spring wheat harvest will be going soon with the crop tour generally finding average yields in the 25-35 range for acres that weren't abandoned. The dollar remains near year lows, but the U.S. will continue to struggle for near-term business with ample world supplies. Trade continues to add carry in the spring wheat, with winter wheat keeping the ample carry in place. Weekly export inspections were solid at 578,469 metric tons, with crop progress showing winter wheat harvest effectively complete, and spring wheat conditions steady to down slightly with harvest ready to ramp up soon. On the December Kansas City contract support is the 100-day at $4.95. Resistance is at the 50-day at $5.13 then 10-day moving average at $5.14. 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.