DTN Midday Grain Comments 07/20 10:52

DTN Midday Grain Comments 07/20 10:52 Wheat, Corn Lower at Midday Corn is 4 to 5 cents lower, soybeans are 5 to 6 cents higher, and wheat is 7 to 15 cents lower. David Fiala,DTN Contributing Analyst Corn is 4 to 5 cents lower, soybeans are 5 to 6 cents higher, and wheat is 7 to 15 cents lower. The U.S. stock market is mixed with the Dow down 50 points. The dollar index is 9 points lower. Interest rate products are firmer. Energies are mostly weaker with crude down $0.15. Livestock trade is lower. Precious metals are firmer with gold up $8.00. CORN Corn trade is 4 to 5 cents lower at midday with trade working back towards the low with early selling as rains move across much of the Belt, and the gap above the market remains unfilled. The forecast is expected to remain non-threating for the most part through this week. The ethanol margins look to narrow coming forward with concerns about gasoline demand persisting with particular pressure on the back months. Weekly export inspections were strong at 1.15 million metric tons. Weekly crop progress is expected to show steady conditions, with silking and in the dough near average. On the September contract, trade continues to have resistance at the gap level from Sunday night at $3.36, with the lower Bollinger Band at $3.16. SOYBEANS Soybean trade is 5 to 6 cents higher at midday with trade moving back towards resistance with broad buying support again this a.m. along with another 132,000 metric tons of soybeans sold to China. Meal is $1.00 to $2.00 higher and oil is 20 to 30 points higher. Crush margins remain fairly stable. The ral remains at the midpoint of the recent range vs. the dollar. Weather looks fairly non-threating near term with early podfill coming soon. Weekly export inspections remain soft at 452,811 metric tons, with steady crop conditions and progress just ahead of average. The August chart now has support at the 20-day at $8.83 which we got back above last week, with the upper Bollinger Band at $9.09 as resistance. WHEAT Wheat trade is 7 to 15 cents lower at midday with winter wheat seeing selling again as it fades back from the recent highs. The ruble remains in the recent range vs. the dollar with Black Sea wheat still winning tenders while yield concerns linger although they have improved as combines move north. U.S. harvest should be on the homestretch for winter wheat, with spring wheat coming soon with steady crop conditions and heading still slightly behind normal. Weekly export inspections were inline with recent weeks at 500,607 metric tons. Kansas City is at an 84-cent discount to Chicago with spreads stabilizing, while Minneapolis is back to a 17 cent discount. Kansas City chart support is the 20-day at $4.44, with the upper Bollinger Band at $4.60. 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.