DTN Midday Grain Comments 04/22 11:02

DTN Midday Grain Comments 04/22 11:02 Grain Trade Lower at Midday Trade is sharply lower in volatile trade at midday. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are lower with the Dow futures down 20 points. The interest rate products are higher. The dollar index is 41 points higher. Energies are higher with crude down 0.80. Livestock trade is mixed with cattle sharply lower. Precious metals are mxed with gold down $6.00. CORN Corn trade is 8 to 12 cents lower at midday with trade following the lead of the weakness in the soybean pit this morning Ethanol margins have improved this morning with the energy complex showing strength and corn sliding. The Planting progress will slow down with rains moving across much of the Corn Belt this week with showers lingering into next week in many areas despite warmer temperatures. South American weather looks to show a bit of improvement with wetter weather in Brazil. Basis has softened substantially in most areas with the rally still shaking loose some bushels. On the chart support is the 10-day at $3.81 which he have tested this morning, and the 20-day at $3.72 below that. with resistance the 200-day at $3.90. SOYBEANS Soybean trade continues to be volatile with trade 35 to 40 cents lower at midday with trade setting back with selling vs. recent longs with trade being very overbought and drier weather allowing harvest to progress in Argentina. Meal is $16 to $17 lower and oil is 15 to 25 points lower. The back months have gained nearly 20 cents at midday as bull spreads unwind. Basis has softened with the sharp rally shaking bushels loose. Some early soybeans have started to be planted in the southern areas, but planting progress is expected to remain slow. On the July soybean chart, with the 10-day at $9.77 is now support, with the 20-day at $9.47 below that. The $10.43 3/4 contract high is now resistance. WHEAT Wheat trade is 10 to 26 cents lower across the three contracts at midday with row crop weakness, the stronger dollar and improved weather weighing on trade. The Minneapolis contract is showing the most strength so far. Rains are expected in the eastern part of the belt over the next week, with the western areas more open. Stripe rust has been noted through much of Kansas with the wet weather bringing it back, which could show up on the condition report next week. European growth will be slowed with unseasonably cold temperatures, with warm dry weather continuing in India. Russia remains in good shape. Feed wheat is getting more attractively priced on the world market. On the July Kansas City chart the 20- and 50-day moving average at $4.77-79 is now nearby support which we have edged below at midday with the 200-day at $5.08 resistance. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered trading adviser. David Fiala can be reached at dfiala@futuresone.com Follow David Fiala on Twitter @davidfiala (BAS) Copyright 2016 DTN/The Progressive Farmer. All rights reserved.