DTN Midday Grain Comments 04/05 11:43

DTN Midday Grain Comments 04/05 11:43 Grains Higher at Midday Trade is higher across the board at midday, with wheat and soybeans leading. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are higher with the Dow up 345 points. The interest rate products are higher. The dollar index is 45 points higher. Energies are mixed with crude up 10 cents. Livestock trade is sharply higher. Precious metals are mixed with gold down $13.30. CORN Corn trade is 5 to 6 cents higher at midday with trade working to rebuild upside momentum after the setback yesterday. Good spillover support from wheat and soybeans is present at midday. Early fieldwork looks to remain slow for the bulk of the belt, especially for the Mississippi Delta and Ohio Valley with cold, wet conditions, and lower-than-normal temperatures expected to linger for a while with some improvement starting to show up for the second week out. The export wire has been quiet to start the week. Ethanol margins will likely to continue to see a little bit of short term pressure, but ethanol futures have been able to keep pace with corn this morning. The weekly export sales were a bit softer at 898,300 metric tons. On the May chart we are back above the 20-day at $3.82 which is now support with resistance the recent highs of $3.92 1/4. SOYBEANS Soybean trade is 7 to 14 cents higher at midday with near-term demand providing more aggressive bull spreading this morning as export bids are up sharply. Meal is flat to $1 higher and flat to 10 points lower for oil. South American harvest will continue with a drier pattern in Brazil, but rains in Argentina. Active trade will continue to trade trying to decide what the effects of the ongoing trade issues will be. Trade will be looking for signs of additional acres, especially with a slow start to planting in the Dakotas on spring wheat Export sales were good at 1.13 million metric tons of old beans, 358,200 of new, 414,300 of meal, and 45,300 of oil. On the May contract, support is the 100-day at 10.11 with the 200-day at 10.02 1/2 below that, and resistance the 20-day at 10.33 to the upside. WHEAT Wheat trade is 6 to 12 cents higher at midday with trade pushing higher on continued dry weather for the Plains, with ample supplies continuing to cap rallies. The poor weather conditions for the HRW belt continue to add support with rain lacking the next week, while warmer weather starts to build in. Warmer weather for the Black Sea and Continental Europe should help to support growth there, with their price advantage growing on the world market. Wheat exports remain soft at 109,000 metric tons of old, and 200,200 of new. On the May Kansas City contract support is at the 50-day at $4.91 with trade with $5.00 the next level of resistance. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered adviser. He can be reached at [email protected] Follow him on Twitter @davidfiala (BAS) Copyright 2018 DTN/The Progressive Farmer. All rights reserved.