DTN Midday Grain Comments 06/13 11:50

DTN Midday Grain Comments 06/13 11:50 Grains Trending Higher at Midday Corn scores new highs, and leads at midday. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are firmer with the Dow 55 higher. The dollar index is 6 higher. Interest rate products are weaker. Energies are firmer with crude 1.40 higher. Livestock trade is mixed. Precious metals are mostly firmer with gold 7.30 higher. CORN Corn trade is 2 to 9 cents higher with front-month trade leading as bull spreading takes charge with new highs scored on July and December before fading. New highs for the move were seen with buy stops above the previous highs. No immediate follow-through occurred though, making the close today very important to the chart folks. The forecast looks to continue the recent pattern into the next week, likely finishing late planting in some areas, especially east. Ethanol margins have narrowed with firmer corn, slightly higher ethanol and unleaded futures, continuing to squeeze plants. The weekly export sales remain soft at 168,500 metric tons of new crop, and 94,500 of new. On the July nearby chart, support is the 10-day at $4.24, with the $4.42 3/4 new high remaining resistance, and the $4.47 upper Bollinger Band above that. SOYBEANS Soybean trade is 5 to 9 cents higher with trade working higher again on acre concerns, and spillover support from corn. Meal is $2.00 to $3.00 higher, and oil is 10 to 20 points higher. Crush margins remain solidly positive overall with meal just above $320. South American currencies have firmed as they control the world export business, which remains limited with the swine fever demand losses. Field work will likely be slowed again in many areas. The corn/soybean ratio has been more stable here as the last deciding days tick away. The weekly export sales were soft at 255,900 metric tons old crop, and 275,200 metric tons of new crop, 112,500 of old meal, 41,500 of new meal, and 5,100 of oil. The July chart support is the 50-day at $8.65, with next resistance the 100-day at 8.97. WHEAT Wheat trade is flat to 4 cents higher with winter wheats leading trade as harvest expands, Chicago taking the lead during the day session. The Kansas City/Chicago spread pushed to new highs at 67 cents with HRW harvest expanding. The heavy rains are slated more for the north and east parts of the belt while harvest should build more on the Plains. The dollar edged back above 97 on the index as well. Black Sea-area weather remains mixed. Hard red wheat is working into feed rations in some areas with the bounce in corn values, and reduced quality may increase feeding on that front. Weekly export sales were a little softer at 325,400 metric tons. On the July Kansas City chart, support is the 100-day at $4.55, then the 10-day at 4.63, which we are just above at midday with the upper Bollinger Band at $4.88 as resistance. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered adviser He can be reached at dfiala@futuresone.com Follow him on Twitter @davidfiala (BAS) Copyright 2019 DTN/The Progressive Farmer. All rights reserved.