DTN Midday Grain Comments 07/10 10:54

DTN Midday Grain Comments 07/10 10:54 Corn, Soybean Futures Higher at Midday; Wheat Mixed Corn futures are 5 to 6 cents higher at midday Monday; soybean futures are 28 to 32 cents higher; wheat futures are 2 cents lower to 5 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 5 to 6 cents higher at midday Monday; soybean futures are 28 to 32 cents higher; wheat futures are 2 cents lower to 5 cents higher. The U.S. stock market is mixed with the S&P up 5. The U.S. Dollar Index is 10 points lower. Interest rate products are firmer. Energies are mixed with crude .30 lower and natural gas up .08. Livestock trade is mostly higher. Precious metals are weaker with gold off 4.50. CORN: Corn futures are 5 to 6 cents higher to start the week as we remain active in the lower end of the range ahead of the WASDE report coming Wednesday. Crop progress updates will arrive today and warmer conditions and mixed moisture are in the short-term forecasts. Ethanol margins should remain fairly stable with a little narrowing to start the week. Weekly export inspections were disappointing at 341,024 metric tons(mt). Basis will continue to stabilize with the board pullback and tighter stocks with some areas firming again. The second crop in Brazil will continue to see harvest push forward, helping world availability. Weekly crop progress should show maturity around the 5-year average, with good-to-excellent ratings likely to edge higher. On the WASDE report, trade is looking for old-crop carryout at 1.421 billion bushels (bb), and new at 2.249 bb with yield at 176.1 bushels per acre (bpa). On the December chart we have support at the recent low at $4.85, while the 20-day moving average is well above the market at $5.49. SOYBEANS: Soybean futures are 28 to 32 cents higher at midday with firmer action in the front months as we get back Friday's losses to start the week. There is position-squaring ahead of the WASDE report and Monday's crop progress likely to continue with the more mixed forecast. Meal is 3.00 to 4.00 higher and oil is 300 to 320 points higher on world veg oil strength. Weekly export inspections are soft at 238,234 mt. Basis has turned a bit more steady with the rally, which should continue in the short term. Better rains are expected to stay more south in the short term with a bit more heat. Weekly crop progress is expected to show maturity staying just ahead of the 5-year average with good-to-excellent ratings edging higher. On the WASDE report, trade is looking for old crop carryout at 233 mb, new at 195 mb on yield of 51.2 bpa. November chart resistance is the Upper Bollinger Band at $14.04 with the 20-day moving average at $13.04, well below the market. WHEAT: Wheat futures are 2 cents lower to 5 cents higher with early day session gains fading as we head back to two-sided trade as harvest moves forward. North Hemisphere harvest elsewhere should gain as well with weather a bit drier for much of the U.S. spring wheat areas. The dollar is cooling the recent rally but remains near the highs, and Matif wheat is weaker at midday. Weekly export inspections improved a bit at 419,124 mt. Weekly crop progress should show harvest near 50% with spring wheat conditions steady with maturity a little ahead of pace. On the WASDE report, trade is looking for domestic carryout at 568 mb with production at 1.682 bb. On the KC September Chart, the 20-day moving average is at $8.24 is first resistance area, with $8.00 as support. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.