DTN Midday Grain Comments 05/07 10:53

DTN Midday Grain Comments 05/07 10:53 Corn Higher, Beans and Wheat Mixed at Midday Tuesday Corn trade is 2 to 3 cents higher. Beans are narrowly mixed and wheat trade is 4 cents lower to 2 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is firmer at midday Tuesday with the S&P 12 points higher. The dollar index is 9 points higher. The interest rate products are firmer. Energies have crude .20 cent lower and natural gas .01 cent higher. Livestock trade is firmer. Precious metals are mixed with gold off $7.10. CORN: Corn is 2 to 3 cents higher at midday with trade pressing to highs in quiet action after early weakness with little fresh news to drive trade as we get more overbought. Ethanol margins will see pressure from corn strength but we have seen some recent driving demand improvement to help set up a boost to blender margins later in the month. Near-term weather should open up a bit after today's system to allow the planting pace to pick back up into mid-month with progress slow for now. Weekly crop progress showed 36% planted vs. 39% on average and 12% emerged vs. 9% on average. The recent patterns in South America continue with some short-term dryness for double-crop corn areas along with excess rain causing disease issues in the first-crop areas to the south. On the July chart, the 20-day at $4.50 is nearby support with the fresh high at 4.72 the next level of resistance. SOYBEANS: Soybeans are narrowly mixed at midday with softer spread action as trade works to consolidate the recent gains while oil continues to lead the product complex. Meal is .50 cent to $1.50 lower and oil is 30 to 40 points higher. South American bushels should continue to attract the most export attention as harvest rolls on in South America with excess rains hindering some areas as production estimates fade for Argentina short term. The daily wire was quiet again today. The more open weather after the current system should help planting into mid-month with weekly crop progress showing 25% planted vs. 21% on average, and 9% emerged vs. 4% on average. July soybean futures have resistance at the $12.56 fresh high. Chart support is at the 20-day moving average at $11.83. WHEAT: Wheat trade is 4 cents lower to 2 cents higher with trade again rebounding from early profit-taking to stay near the recent highs with little change to U.S. conditions or world weather. The Plains should warm up a bit and dry after the storms moved across yesterday, likely causing some localized issues, while Black Sea forecasts continue to be concerning at an early stage in the growing season. Weekly crop progress showed conditions 1% better to 50% good to excellent, and 16% poor to very poor, with 43% headed vs. 32% on average. Spring wheat was 47% planted vs. 31% on average and 12% emerged vs. 9% on average. The dollar continues to hold the lower end of the recent range with MATIF wheat pulling back from the fresh highs but rebounding from the early selling. On the KC July chart, support is the 20-day at $6.15, with the fresh high at 6.79 as further resistance. David Fiala can be reached at dfiala@futuresone.com Follow him on social platform X @davidfiala (c) Copyright 2024 DTN, LLC. All rights reserved.