DTN Midday Grain Comments 05/30 11:54

DTN Midday Grain Comments 05/30 11:54 All Grains Lower at Midday Trade is lower across the board at midday led by soybeans. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are lower with the Dow futures down 40. The interest rate products are higher. The dollar index is 15 points lower. Energies are lower with crude down 0.60. Livestock trade is mixed. Precious metals are mixed with gold $5.80 lower. CORN Corn trade is 7 cents lower at midday due to better weather and spillover pressure from beans. The forecasts are mixed with some trying to dry out the wettest areas, while others are adding more rains. Either way the trade does not see harmful forecasts which are leading to some long liquidation at midday. Ethanol margins should benefit from the lower corn trade. The weekly export inspections were solid at 1.194 million metric tons. The weekly crop progress should have planting just above the normal pace. The first crop ratings are expected to have initial conditions 66-69% good to excellent. The market tonight should react to the weekly report released this afternoon. On the July chart support is at the five-month low at $3.60 3/4, with resistance at the 20-day moving average at $3.70. SOYBEANS Soybean trade is 9 to 14 cents lower with favorable weather and long liquidation continuing. Meal is $3 to $4 lower and oil is 35 to 45 lower. Beans traded to some light gains early but then the down trend showed it is still in force. Palm oil prices have slid recently adding pressure along with the lack of action on the biodiesel front. The weekly export inspections were normal seasonally at 335,519 metric tons. The weekly crop progress this afternoon is expected to show plantings and emergence near normal. July beans have new support at $9.10 which is the fresh morning low, then $9.00, with resistance at 10-day moving average of $9.48. WHEAT Wheat trade is 4 to 10 cents lower at midday which is giving back Friday's gains and then some, but we remain in the middle of the recent trading ranges. Early yields remain on the light side with protein improving with a big expansion likely this week. World weather will continue to gain importance with concerns about wet weather in western Canada and dry pockets elsewhere with the Dakotas now moving into drought conditions, although some relief may be on the way in the extended forecast. The dollar continues to drift at the lower end of the range. The weekly export inspections were OK at 602,913 metric tons. The weekly winter wheat conditions should be steady this afternoon with maturity slightly above normal, while spring wheat should be caught up on planting and emergence with early conditions mixed. On the July Kansas City contract support is the 10-day at $4.31 which we are testing this morning, and the 20-day resistance at $4.38. 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.