DTN Midday Grain Comments 04/26 10:53

DTN Midday Grain Comments 04/26 10:53 Corn, Soybean, Wheat Futures Prices Higher at Midday Corn futures are 4 to 7 cents higher at midday Tuesday; soybean futures are 4 to 7 cents higher; wheat futures are 12 to 21 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is weaker with the DOW 505 points lower. The U.S. Dollar Index is 40 points higher. Interest rate products are firmer. Energies are firmer with crude 2.30 higher and natural gas up .27. Livestock trade is mixed. Precious metals are mixed with gold up 8.00. CORN: Corn futures are 4 to 7 cents higher at midday with two-sided action as trade sees weaker spreads as it tries to extend the Monday reversal with support from energies redeveloping. Ethanol margins should remain stable with action for corn and energies still in the upper end of the range. The second crop in Brazil will continue to head toward pollination with some holes remaining in the forecast. U.S. weather will be cool and wet for the Central and Eastern Corn Belt, keeping planting slow in the short term. The weekly Crop Progress report showed 7% planted versus 15% on average, with 2% emerged versus 3% on average. On the July contract chart, we have support at the 20-day moving average at $7.66 with resistance at the new contract high of $8.14 printed Tuesday. SOYBEANS: Soybean futures are 4 to 7 cents higher at midday with trade firming back from the early day session losses with weaker spread action as meal losses have limited upside. Meal is $1.00 to $2.00 lower and oil is 120 to 130 points higher. The daily wire had another round of mostly new-crop sales with 133,000 metric tons (mt) to unknown and 132,000 mt to China. South American harvest will continue to push forward with early planting slowly getting started in the U.S. The weekly Crop Progress report showed planting at 3% versus 5% on average. New-crop November has gained a little versus corn in recent days but remains at disadvantage and slow corn planting is likely to help defend soybean acres. On the July soybean chart, we have resistance at the Upper Bollinger band at $17.32. Support is at the $16.52 20-day moving average, which we have faded back toward. WHEAT: Wheat futures are 12 to 21 cents higher with the winter wheats leading as conditions declined to the lowest ratings since 1996. Spring wheat planting will remain slow with plentiful moisture in the Dakotas. The weekly Crop Progress report showed spring wheat planting at 13% versus 15% on average and 2% emerged versus 4% on average. The Plains may see limited relief in some areas, but weekly wheat condition was down 3% to 27% good to excellent and 39% poor to very poor. Heading was reported at 11% versus 19% on average. Little change is expected in the Black Sea region for now. KC wheat is back to a 20-cent discount to Minneapolis, widening from recent highs, and at a 75-cent premium to Chicago, narrowing slightly. The KC July chart has resistance at the fresh high at $12.02 1/4 scored last week with the upper Bollinger Band at $12.33 just above that, and the 20-day moving average well below that market at $11.15. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.