DTN Midday Grain Comments 04/12 10:56

DTN Midday Grain Comments 04/12 10:56 Corn, Soybean, Wheat Futures Higher at Midday Corn futures are 12 to 14 cents higher at midday Tuesday; soybean futures are 19 to 25 cents higher; wheat futures are 13 to 23 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is firmer with the DOW 280 points higher. The U.S. Dollar Index is 5 points higher. Interest rate products are firmer. Energies are firmer with crude up 6.45 and natural gas firmer. Livestock trade is firmer with hogs leading. Precious metals are firmer with gold up 30.00. CORN: Corn futures are 12 to 14 cents higher at midday with trade pressing back into fresh highs on talk of expanded E15 and easing of China lockdowns, along with the expected slow start to planting. Ethanol margins will remain tight until further stock draws from better demand and/or exports can materialize with E15 an expected step in that direction. Trade will be watching for further sales on the daily wire after the second China announcement in two weeks with nothing Tuesday. Corn planting fell slightly behind average, coming at 2% for the second week with average at 3% with double crop in Brazil continuing to develop well with pollination season coming soon with a short-term drier forecast. On the July contract chart, we have support at the 20-day moving average at $7.33 with resistance at the new contract high of $7.73 3/4 printed Tuesday morning. SOYBEANS: Soybean futures are 19 to 25 cents higher with weaker spread action as trade tries to bounce from the washout Monday with new crop moving past $15.00 again as it attempts to defend acres. Meal is $4.50 to $5.50 higher and oil is 110 to 120 points higher. South American harvest will continue to push forward with early planting still a bit off in the U.S. with no weekly progress report this week. New-crop November continues to struggle to defend acres as well, but slow planting would likely favor soybeans if the weather issue persists. On the July soybean chart we have resistance at the Upper Bollinger band at $17.10, which we faded from Monday. Support is at the $16.40 20-day moving average, which we are solidly above at midday. WHEAT: Wheat futures are 13 to 23 cents higher with broad buying as little improvement is seen for Plains weather or Ukraine and Russia short term, although we have faded off the low volume scored overnight highs. Winter wheat leads but spring wheat could see support from incoming storms slowing planting with the weekly report showing good to excellent at 32%, up 2% from last week, and 36% poor to very poor unchanged from last week and 21% behind last year, with heading at 5% versus 6% on average for winter wheat. Spring wheat is 6% planted versus 5% on average. KC wheat is back to a 15-cent premium to spring wheat as well. The KC July chart has resistance at the fresh high at $11.78 scored overnight with the upper Bollinger Band at $11.55 just below that market so far. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.