DTN Midday Grain Comments 04/29 11:16

DTN Midday Grain Comments 04/29 11:16 Little Trade in Grains at Midday Trade is fairly flat across the board at midday, quiet following this active week. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are lower, with the Dow down 165. The interest rate products are mixed. The dollar index is 70 points lower. Energies are mixed with crude down 0.40. Livestock trade is mostly higher. Precious metals are higher with gold up $30. CORN Corn trade is narrowly mixed at midday with trade fading from early strength. Corn is poised to post a strong monthly gain at the conclusion of trade today which could trigger additional chart buying and/or short covering. South American weather has shown some improvement, but dryness looks to return to Brazil in the extended forecast which could continue to stress the second corn crop, with more talk of export reductions from Brazil. Cooler and wetter weather here will keep planting slow is areas in the near term, but overall progress remains ahead of pace and should stay that way with warmer and drier weather returning in the extened forecast. Ethanol margins remain fairly stable with blender margins improving on unleaded strength this week. The USDA announced 100, 640 metric tons of corn sold to Japan. On the July chart support is the 200-day at 3.88, with resistacne at the high printed last week at $4.07. SOYBEANS Soybean trade is flat to 3 cents lower at midday with trade seeing another 20 cent trading range so far. Meal is flat to $1.00 higher and oil is 10 to 20 points lower. Planting progress will remain slow in the US, but it is too early to be an issue with pace expected to accelerate next week. Argentina harvest should start to gain more momentum soon with flooding starting to recede. The chart continues to hold the up trend with support found on Monday at the 10-day and highest major moving average. On the July soybean chart the 10-day moving average at $10.12 is support with resistance at the $10.46 1/4 high put in Thursday. WHEAT Wheat trade is narrowly mixed trade treading water this morning with limited spillover from the row crops and support coming from the sharply lower dollar. Trade was unable to hold gains yesterday, and continues to struggle to consolidate breakouts. The bull argument continues to need improved export demand with world supplies still ample overall with further weakness in the dollar needed to encourage buyers. The weekly export sales were strong at 351,900 metric tons of old crop, and 454,700 of new crop, but that will need to happen consistently before the market gets excited about it. Disease concerns will continue in some of the wetter areas. The cold weather in continental Europe will slow growth there, but Russia has seen good weather so far, along with improvement in Ukrainian conditions. The July Kansas City chart had resistance at the $4.76 3/4 20-day which we have are hanging around this morning and support at the recent lows at $4.53. 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.