DTN Midday Grain Comments 06/28 10:47

DTN Midday Grain Comments 06/28 10:47 Grain Futures in the Green Midday Tuesday Corn trade is 9 to 15 cents higher; beans are 23 to 26 cents higher and wheat is 3 to 17 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn trade is 9 to 15 cents higher; beans are 23 to 26 cents higher and wheat is 3 to 17 cents higher. The U.S. stock market is weaker with the DOW down 100 points. The U.S. Dollar Index is 0.55 higher. Interest rate products are weaker. Energies are mixed with crude up $1.50. Livestock trade is weaker. Precious metals are mixed with gold down $5.00. CORN: Corn trade is 9 to 15 cents higher at midday Tuesday with trade seeing flat to firmer spread action and support from the crop progress report, oversold conditions and potentially warmer weather into July ahead of the Stocks and Acres report coming Thursday. Trade will continue to watch the forecast with more focus on corn pollination temperatures as we push into July with the back of the forecast looking warmer for some, with uncertain moisture placement but immediate concerns limited. The export wire will need to show value buyers picking up bushels on the break, with nothing on the daily report yet. Weekly crop progress showed good to excellent down 3% to 67%, and poor to very poor at 8% with silking at 4%, same as average, as maturity catches up. The ethanol margins are likely to remain rangebound with strong blender margins remaining in place with unleaded moderating in recent days. Basis remains solid through most of the Corn Belt, with most place moving their bids to the September contract. On the September chart, support is the fresh low at $6.54 with lower Bollinger Band just above that at $6.63, which we have pushed back above Tuesday, with the 20-day well above the market at $7.11. SOYBEANS: Soybean trade is 23 to 26 cents higher at midday with flat spread action as trade continues to work to rebuild momentum since starting to bounce from Thursday's lows as products firm to support crush action. Meal is $5.00 to $6.00 higher with oil 0.85 cent to 0.95 cent higher. Biodiesel margins are very good at the moment, which should bolster crush recovery a bit. South America is moving towards post-harvest footing at this point with planting wrapped up for full season in the U.S., and getting started on double crop, with wheat harvest moving quickly with moisture needed to boost development. Basis is fading a bit at processors and exporters in recent days with the daily wire remaining quiet. Weekly crop progress showed good to excellent down 3% to 65% with poor to very poor at 8%, with 91% emerged, same as average, with 7% blooming versus 11% on average. On the August soybean chart, support is the fresh low at $14.94 with the 20-day well above the market at $16.10. WHEAT: Wheat trade is 3 to 17 cents higher with Chicago leading action at midday while spring wheat lags on better weather, while harvest pressure may start to ease for winter wheat as it seeks to break the recent losing streak. Spring wheat conditions were unchanged at 59% good to excellent and 8% poor to very poor, and heading at 8% versus 34% on average while winter wheat was 41% complete versus 35% on average, along with steady conditions at 30% good to excellent and 43% poor to very poor on the weekly crop progress report. Weather in the Plains should allow for harvest to continue moving with a few areas slowed by rains. The dollar continues to hold in the upper end of the range with the strong ruble helping competitiveness as well, with Russia expected to have near-record supplies with other Black Sea supply diminishing and Middle East tenders shrinking as buyers seek ways to stretch supplies. The KC September chart has support at the fresh low at $9.77 scored Monday with the lower Bollinger Band at $9.75 and the 20-day still well above the market at $11.10. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.