DTN Midday Grain Comments 05/19 11:01

DTN Midday Grain Comments 05/19 11:01 Grains Mixed at Midday Corn is 3 to 4 cents higher, soybeans are 4 to 5 cents lower, and wheat is 2 cents lower to 5 cents higher. David Fiala,DTN Contributing Analyst The U.S. stock market is mixed with the Dow 30 points lower. The dollar index is 18 lower. Interest rate products are higher. Energies are mixed with crude $0.50 higher. Livestock trade is weaker. Precious metals are firmer with gold up $10.00. CORN Corn trade is 3 to 4 cents higher at midday with light buying again as trade tries to consolidate at the upper end of the recent range. The ethanol margins should remain stable with demand continuing to edge higher short term with futures holding around $1.09, and unleaded back above $1.00 as production cuts take effect and demand improves with more ethanol plants announcing restart dates. Warmer weather should return later this week with forecast rain moving west to the drier parts of the belt. Basis has been stable in recent days. Weekly crop progress showed planting progress at 80% vs. 71% on average, and emerged at 43% vs. 40% on average. On the July contract support is the lower Bollinger Band at $3.08, and resistance the 20-day at 3.18, which we closed just above again Monday, with the upper Bollinger Band at $3.25 as resistance which we have tested this AM. SOYBEANS Soybean trade is 4 to 5 cents lower at midday with trade in the middle of the recent range with the early week strength with good support from the weaker dollar and the easing of South American harvest pressure but sustained buying remains in short supply. Meal is narrowly mixed, and oil is 25 to 35 points lower. South America continues to move along harvest wise with strong shipments out of Brazil likely to continue unless port issues redevelop with the usual seasonal talk of strikes present, with the real solidly off the recent lows now and testing upside resistance before fading this AM. Weekly crop progress showing planting at 53% vs. 38% on average, and 18% emerged vs. 12% on average. The July soybean chart support is the lower Bollinger Band at $8.29, with resistance the 20-day at $8.42, which we are back below at midday, then the upper Bollinger Band at $8.56. WHEAT Wheat trade is 3 cents lower to 5 cents higher overnight with Chicago and Minneapolis action leading. Russia looks to have mostly average rainfall near term with France and Germany drier near term. Kansas City is at a 55-cent discount to Chicago on the July with slightly wider action today, while Minneapolis is back to a 12 cent premium. Weekly crop progress showed winter wheat down 1% at 52% good to excellent, and 16% poor to very poor, with 56% headed vs. 62% on average. The July Kansas City chart support is the lower Bollinger band at $4.42 which we are testing at midday with resistance the 20-day at 4.77. 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 (c) Copyright 2020 DTN, LLC. All rights reserved.