DTN Midday Grain Comments 07/10 12:39

DTN Midday Grain Comments 07/10 12:39 Grains Mixed at Midday Soybeans lead at midday. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow 90 lower. The dollar index is 10 higher. Interest rate products are mixed. Energies are flat with crude 0.10 higher. Livestock trade is sharply higher. Precious metals are mixed with gold flat. CORN Corn trade is 6 to 8 cents lower at midday with trade fading back towards the lower end of the range, with little fresh bullish news. The crop looks to be heading towards pollination with mixed weather into mid-month as we try to catch crop development up. Ethanol margins remain tight with the peak of summer driving likely passed with blender margins set to drop sharply into fall. Harvest will continue to expand in South America, with Black Sea conditions mixed along with China. Basis remains very strong across a variety of areas. The weekly crop progress showed 57% good to excellent, and 12% poor to very poor, with 98% emerged vs. 100% on average with 8% silking vs. 22% on average. On the September nearby chart support is at the $4.15 five-day. Resistance is at the 10-day at $4.35 which we failed to hold this morning, and then the 20-day at 4.42. SOYBEANS Soybean trade is 3 to 5 cents higher with trade remaining rangebound and finding light buying at midday. Meal is .50 to 1.50 higher and oil is narrowly mixed. Crush margins remain solidly positive overall with oil still holding the recent leadership position as meal falls back towards $300 a ton. World export demand remains slow, with the real remaining near the upper end of the range but has lost ground in recent days. Weather is on the back burner for soybeans until we get deeper into the growing season for now. The weekly crop progress showed conditions down 1 percentage point to 53% good to excellent, 12% poor to very poor, with 96% planted vs. 100% on average and 10% blooming vs. 32% on average. The September chart support is the 50-day at 8.76, and resistance the 100-day at 8.96. WHEAT Wheat trade is 4 to 9 cents lower with the winter wheat fading as harvest moves along on the Plains. The Kansas City/Chicago spread remains near highs with harvest pushing HRW feed usage, along with scarce milling wheat with the growing conditions in some areas, but has narrowed a little this morning. The corn/HRW spread got down to 2 cents before widening again, and steep cash discounts across the plains. The warmer weather should allow harvest to progress and move past the halfway point, while Europe draws closer, and the Black Sea continues to see mixed yields with Russian estimates moving lower. The dollar is just above 97 on the index with the rally picking up again, which pushed the latest tenders to Black Sea origin. Weekly crop progress had conditions unchanged for winter wheat at 63% good to excellent, 10% poor to very poor on 47% harvested vs. 61% on average. Spring wheat was 78% good to excellent, 3% poor to very poor, with 56% headed vs. 73%. On the September Kansas City chart, support is the fresh low at $4.30, with resistance the 50-day at 4.49. 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.