DTN Midday Grain Comments 07/05 10:41

DTN Midday Grain Comments 07/05 10:41 Corn, Beans Lower; Wheat Higher Midday Wednesday Corn trade is 5 to 7 cents lower, beans are 10 to 12 cents lower and wheat trade is 18 to 34 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn trade is 5 to 7 cents lower, beans are 10 to 12 cents lower and wheat trade is 18 to 34 cents higher. The U.S. stock market is weaker with the S&P off 4. The U.S. Dollar Index is 0.20 higher. Interest rate products are weaker. Energies are mostly firmer with crude $1.90 higher and natural gas off $0.03. Livestock trade is mixed with hogs leading. Precious metals are mixed with gold up $2.50. CORN: Corn trade is 5 to 7 cents lower Wednesday with trade trying to consolidate at the lower end of the range with short-term weather expected to be mild with more rain in the southern belt and early strength quickly going by the wayside Wednesday morning. Ethanol margins will improve coming forward, with the potential for blender margins to be boosted a bunch as well, especially if we hold at the upper end of the recent range. The daily wire was quiet short term. Basis will continue to stabilize with the board pull back and tighter stocks. The second crop in Brazil will continue to see harvest push forward helping world availability. Weekly crop progress showed 8% silking versus 9% on average, and 51% good to excellent, up 1% better, and 15% poor to very poor. On the December chart, we have resistance at $5.00 nearby, with the lower Bollinger Band at $4.76 as support with trade holding above it for now. SOYBEANS: Soybean trade is 10 to 12 cents lower with trade fading off the upper end of the range as meal started to lead the product complex lower and near-term weather still less threatening. Meal is $4.00 to $5.00 lower and oil is 0.55 cent to 0.65 cent higher. The daily wire will likely remain quiet for now with importers likely to wait for a break before stepping up again. Basis has turned a bit steadier with the rally, which should continue short term. Better rains are expected to stay more south short term. Weekly crop progress showed 50% good to excellent, down 1%, with 15% poor to very poor, with 24% blooming versus 20% on average, and 4% setting pods versus 2% on average. November chart resistance is the upper Bollinger Band at $14.09 with the 20-day at $12.28 well below the market. WHEAT: Wheat trade is 18 to 34 cents higher with KC action leading as harvest will continue to lag average pace along with spillover support from Black Sea political premiums rebuilding a little bit on nuclear plant talk. Harvest was 37% complete for winter wheat versus 46% on average, with 40% good to excellent, and 29% poor to very poor. Spring wheat is 51% headed versus 46% on average, and 48% good to excellent, down 2% on 12%. The dollar is cooling the recent rally but remains near the highs, and Matif wheat is firmer so far. On the KC September Chart, the 20-day at $8.19 is resistance which we got pushed back above at midday, with $8.00 the first nearby support area which we bounced back above to start the day. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.