DTN Early Word Grains 07/12 05:54

DTN Early Word Grains 07/12 05:54 Grains Pressured by Dollar, Weather Ahead of WASDE December corn is down 8 1/2 cents per bushel, November soybeans are down 22 cents, and September KC wheat is down 16 cents. Tregg Cronin DTN Contributing Analyst PRE-6 a.m. GLOBEX PRICES: December corn is down 8 1/2 cents per bushel, November soybeans are down 22 cents, and September KC wheat is down 16 cents. CME GLOBEX RECAP: Global equity markets are lower overnight, continuing the downtrends present for most of 2022. The U.S. Dollar Index seems to be the feature in financial markets, hitting the highest levels since 2002 and driving the euro toward parity and the yen to the weakest level since 1998. This becoming a major headwind for commodities priced in U.S. dollars as it hurts export competitiveness against other countries. Crude oil is maintaining its downtrend since peaking in early June, trading solidly below its 50 and 10-day moving averages. Metals are weaker with copper and silver both trading near 2.0% lower. Grains are weaker, following the overall commodity downtrend as the U.S. Dollar surges and weather models don't look as threatening as they did over the weekend. We do not feel today's WASDE will have much in it to combat these larger macro and weather-related forces but more will be known at 11:00 am CDT. OUTSIDE MARKETS: Previous closes Monday showed the Dow Jones Industrial Average down 164.31 at 31,173.84 and the S&P 500 down 44.95 at 3,899.38 while the 10-Year Treasury yield ended at 2.991%. Early Tuesday, the September DJIA futures are down 183 points. Asian markets are lower with Japan's Nikkei 225 down 475.64 (-1.77%) and China's Shanghai Composite down 32.12 points (-0.97%). European markets are lower with London's FTSE 100 down 23.58 points (-0.33%), Germany's DAX down 82.41 points (-0.64%) and France's CAC 40 down 14.4 points (-0.24%). The September Euro is down 0.005 at 1.010 and the September U.S. Dollar Index is up 0.391 at 108.220. The September 30-Year T-Bond is up 37/32nds, while August gold is down $0.70 at $1,731.00 and August crude oil is down $2.64 at $101.45. Corn on China's Dalian Exchange was down 0.62% while soybeans were up 0.4% and soybean meal was up 0.35%.