DTN Midday Grain Comments 04/19 10:53

DTN Midday Grain Comments 04/19 10:53 Soybean Futures Prices Higher at Midday; Corn, Wheat Lower Corn futures are flat to 5 cents lower at midday Tuesday; soybeans are 1 to 4 cents higher; wheat futures are 4 to 11 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are flat to 5 cents lower at midday Tuesday; soybeans are 1 to 4 cents higher; wheat futures are 4 to 11 cents lower. The U.S. stock market is higher with the DOW 410 points higher. The U.S. Dollar Index is 15 points higher. Interest rate products are weaker. Energies are sharply lower with crude down 5.10 and natural gas off .90. Livestock trade is firmer. Precious metals are weaker with gold down 33.00. CORN: Corn futures are flat to 5 cents lower at midday with weaker spread action as trade backs away from the fresh highs scored overnight with little fresh bullish news to push further. Ethanol margins should show improvement if we can continue to pull stocks down. But there is a ways to go with corn values at the highs and still a significant stocks overhang heading into mid-spring with the first major driving holiday behind us. Trade will be watching for further sales on the daily wire with more action of soybeans in recent days and nothing showing up Tuesday. The second crop in Brazil will continue to head toward pollination with more holes in the forecast with U.S. weather cool and wet except for the western growing areas, which remain dry with the second week drier for most. Weekly USDA Crop Progress showed planting progress at 4% versus 6% on average. On the July contract chart, we have support at the 20-day moving average at $7.45 with resistance at the new contract high of $8.14 printed Tuesday. SOYBEANS: Soybean futures are 1 to 4 cents higher at midday with trade working to consolidate while July still struggles to move past $17.00 and new crop holds above $15.00. Meal is $4.00 to $5.00 higher and oil is 65 to 75 points lower. South American harvest will continue to push forward with early planting slow in getting started in the U.S. with the first progress report showing 1% planted versus 2% on average. New-crop November continues to struggle to defend acres with early progress fading Tuesday as well, but slow planting would likely favor soybeans if the weather issue persists. USDA announced 123,650 metric tons (mt) of old crop sold to unknown on the daily wire. On the July soybean chart we have resistance at the Upper Bollinger band at $17.22. Support is at the $16.47 20-day moving average which we continue to hold solidly above. WHEAT: Wheat futures are 4 to 11 cents lower with early gains fading as trade works to consolidate at the high end of the range as Russian offensives ramp up and weather continues to limit growth on the Plains and spring wheat planting looks to remain slow in the near term with overbought conditions helping to find a little bit of profit-taking in the short term. The weekly progress report showed good to excellent down two percentage points to 30% good to excellent and 37% poor to very poor. Heading was 7% versus 12% on average. Spring wheat planting was 8% versus 9% on average. KC wheat is back to a 5-cent premium to Minneapolis, narrowing a little from the recent highs with a 64-cent premium to Chicago. The KC July chart has resistance at the fresh high at $12.02 1/4 scored this morning with the upper Bollinger Band at $12.08 just above that, and the 20-day moving average well below that market at $11.00. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.