DTN Midday Grain Comments 05/02 11:20

DTN Midday Grain Comments 05/02 11:20 Grains Mixed at Midday Wheat leads at midday with soybeans firmer and corn weaker. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow 16 higher. The interest rate products are higher. The dollar index is 10 higher. Energies are lower with crude down $0.40. Livestock trade is sharply higher. Precious metals are mixed with gold flat. CORN Corn trade is 2 to 4 cents lower at midday with trade struggling to extend the early week gains with the market awaiting further forecasts. The weather forecast is more open for the western part of the belt with the east remaining wetter this week with temperatures getting closer to seasonal to aid drying in some areas. Ethanol margins are mixed this morning with corn and ethanol futures weaker. Corn basis is expected to remain steady in the near term with some potential pressure from farmer movement. The weekly crop progress yesterday was near expectations at 34% complete which has us caught up to the average. Emergence was at 9% versus 12% last year, and 8% on average. The July chart support is the 50-day at $3.73 with the gap at $3.69 below that, with resistance now the fresh high at $3.79 with the winter high at $3.92 above that. SOYBEANS Soybean trade is flat to 3 cents higher at midday with trade looking to build on recent gains with stronger demand helping to push trade along. Meal is $3 to $4 lower and oil is 55 to 65 points higher. Slow corn planting could shift some acres back to beans and that could help to limit upside in the near term. Basis has remained fairly steady in the near term with slower farmer movement. Strong movement is expected to continue from South America in the near term. The weekly crop progress report showed planting at 10% vs. 7% on average and last year. July soybean chart support is 20-day and overnight gap at $9.58, with resistance the 50-day at 9.93. WHEAT Wheat trade is 3 to 8 cents higher at midday with trade looking to extend gains tied to the winter storm as the Kansas wheat tour gets going. Weather looks to warm back up and drier out for much of the west in the near term, but that may only assist the tour in assessing the damage in the near term. World weather will become more of an issue with some concerning conditions in Europe and Russia coming forward. The dollar is just above the 99 level on the index. Weekly crop progress unchanged at 54% good to excellent, and 13% poor to very poor, unchanged with the storm not accounted for, with heading at 42% vs. 40% last year, and 34% on average. Spring wheat was 31% planted vs. 51% last year, and 46% on average, with 9% emerged vs. 20% last year, and 17% on average. On the July Kansas City contract support is the 200-day at 4.55 with the gap at 4.43 below that, and resistance the winter high at $4.98. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered Advisor. David Fiala can be reached at dfiala@futuresone.com Follow him on Twitter @davidfiala (BAS) Copyright 2017 DTN/The Progressive Farmer. All rights reserved.