DTN Midday Grain Comments 07/17 10:57

DTN Midday Grain Comments 07/17 10:57 Corn, Wheat Futures Lower at Midday; Soybeans Higher Corn futures are 6 to 7 cents lower at midday Monday; soybean futures are 2 to 3 cents higher; wheat futures are 7 to 15 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 6 to 7 cents lower at midday Monday; soybean futures are 2 to 3 cents higher; wheat futures are 7 to 15 cents lower. The U.S. stock market is firmer with the S&P up 10. The U.S. Dollar Index is 3 points higher. Interest rate products are weaker. Energies are weaker with crude .62 lower and natural gas unchanged. Livestock trade is mostly higher. Precious metals are weaker with gold off 8.00. CORN: Corn futures are 6 to 7 cents lower at midday with trade giving back the early overnight gains. There was negative spillover from wheat reversing its strength despite the grain corridor deal apparently ending and demand concerns continue to linger with good short-term weather for most. Short-term weather has rain coverage slowing a little this week with the bigger concern the second week with a warmer and drier possibility. Ethanol margins should be rangebound with energies pulling back along with corn Monday morning. Weekly inspections were soft again at 363,818 metric tons (mt). Basis should remain flat in the near term. The second crop in Brazil will continue to see harvest push forward, helping world supplies. Weekly crop progress is expected to show good to excellent up a bit more, with maturity around the 5-year average. On the December chart we have support at the recent low of $4.81 scored last week, while the 20-day moving average is well above the market at $5.37. SOYBEANS: Soybean futures are 2 to 3 cents higher at midday with trade pressing back into the highs to start the week before fading again, with product strength providing the most support. Meal is 5.00 to 6.00 higher and oil is 30 to 40 points higher. Weekly export inspections were softer at 155,556 mt. Basis should remain mostly steady in the short term. Trade will be watching the more extended forecasts into August to see how conditions go into podfill season with weekly crop progress expected to show good to excellent edging higher with maturity still solidly ahead of the 5-year average. November chart resistance is the Upper Bollinger Band at $14.00 with the 20-day moving average at $13.36, below the market. WHEAT: Wheat futures are 7 to 15 cents lower with early gains fading as Chicago action holds up the best. The trade waits for further harvest progress and waits to see the effects of the apparent end of the Ukraine grain shipping corridor with Russia's announced withdrawal. Winter wheat harvest will continue to lag the 5-year average pace with the wet weather on much of the Plains keeping things slow, while spring wheat conditions will likely be steady to slightly lower with maturity just ahead of average. The dollar is holding below 100 on the index, and Matif wheat is a bit firmer Monday. Weekly export inspections were a bit soft at 253,409 mt. On the KC September Chart, the 20-day moving average at $8.30 is the first resistance area, which we failed to hold overnight, with $7.92 as support, which we bounced from Thursday. David Fiala can be reached at [email protected] Follow him on Twitter @davidfiala (c) Copyright 2023 DTN, LLC. All rights reserved.