DTN Midday Grain Comments 07/15 12:16

DTN Midday Grain Comments 07/15 12:16 Corn, Soybean, Wheat Futures Mostly Lower at Midday Corn futures are flat to 4 cents lower at midday Friday; soybean futures are flat to 9 cents lower; wheat futures are 12 to 21 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are flat to 4 cents lower at midday Friday; soybean futures are flat to 9 cents lower; wheat futures are 12 to 21 cents lower. The U.S. stock market is firmer with the DOW up 620 points. The U.S. Dollar Index is 60 points lower. Interest rate products are firmer. Energies are firmer with crude up 2.20. Livestock trade is weaker. Precious metals are mixed with gold $1.00 lower. CORN: Corn futures are flat to 4 cents lower with two-sided trade continuing on mixed weather forecasts. Outside markets remain challenging as we head toward the end of the week. Short-term forecasts are mixed with the west warmer and drier, while the east looks to be in line for better rains. USDA retracted this morning's corn private export sale announcement. Ethanol margins will continue to be compressed, driving demand short-term. Basis will be watched to see if strength holds with spread action softening a bit in recent days with September/December almost even. On the September chart, support is the fresh low at $5.82 with the lower Bollinger Band just below that at $5.45, with the 20-day moving average above the market at $6.39. SOYBEANS: Soybean futures are flat to 9 cents lower with two-sided trade turning more negative at midday as well with action once again fading back from the highs as meal slips and oil continues to consolidate near the lows. Meal is $8.00 to $9.00 lower and oil is 125 to 145 points higher. Biodiesel margins remain positive but have narrowed some with the break in diesel values. South America is on post-harvest footing for shipping, while the bulk of the U.S. is three to four weeks from the key reproductive time frame with better rains for the east short term. Basis is fading a bit at processors and exporters in recent days with the daily export wire remaining quiet. On the September soybean chart support is the fresh low at $13.21 with lower Bollinger Band at $12.97 with the 20-day moving average at $14.34, well above the market. WHEAT: Wheat futures are 12 to 21 cents lower at midday with early gains fading again as the strong dollar, harvest pressure, and ideas of progress on a corridor for Ukraine to ship grain continue to weigh on the market. Plains weather should allow for harvest to push quickly toward the homestretch for winter wheat, while Continental Europe struggles with short-term dryness again. The dollar is scoring fresh highs and short-term export business will be watched with the U.S. competitive in some markets even with the strong dollar. The KC September chart has support at the fresh low at $8.32 1/2, which we have faded below at midday, with the lower Bollinger Band at $7.76 and the 20-day moving average still well above the market at $9.54. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2022 DTN, LLC. All rights reserved.