DTN Midday Grain Comments 05/16 10:53

DTN Midday Grain Comments 05/16 10:53 Corn Lower, Beans Mixed, Wheat Higher at Midday Thursday Corn trade is 4 to 5 cents lower; beans are narrowly mixed and wheat trade is flat to 5 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is firmer at midday with the S&P 15 points higher. The dollar index is 15 points higher. The interest rate products are mixed. Energies have crude $0.40 higher and natural gas $0.10 higher. Livestock trade is firmer. Precious metals are weaker with gold off $10.50. CORN: Corn is 4 to 5 cents lower at midday with trade back to nearby support levels with broad weakness during the day session and little other fresh news to move the market. Ethanol margins should get a boost from the corn pullback with unleaded holding the lower end of the range. Near-term weather will likely slow planting short term with active systems moving through with some windows for progress into the middle of next week. The daily wire was quiet with sales a touch softer than in recent weeks at 742,200 metric tons of old crop, and 128,200 of new. South America has little fresh news with little change to the weather patterns for the second crop in Brazil short term. On the July chart, the 20-day at $4.57 is nearby support which we are testing at midday with the fresh high at 4.75 1/2 the next level of resistance which we are just below. SOYBEANS: Soybeans are narrowly mixed in quiet trade as trade works to digest the NOPA report yesterday with little other fresh news to drive action. Meal is 2.50 to 3.50 lower and oil is 60 to 70 points higher. NOPA crush was down 4.2% on the year, coming below expectations as crush margins deteriorated with oil stocks a bit tighter. South America will continue to battle short-term export impediments but overall, the pace should continue to expand. The daily wire was quiet with weekly sales showing improvement in products with 300,400 metric tons of old crop meal, 31,000 of new, and 9,100 of oil while full beans remained soft seasonally at 265,700 of old, and 25,200 of new. Planting will be slowed by showers working across the south and east of the belt this week but there will be other areas of progress. The July soybean futures have resistance at the $12.56 fresh high. Chart support is at the 20-day moving average at $12.00. WHEAT: Wheat trade is flat to 5 cents higher with trade continuing the pattern of overnight strength before fading off the early highs yet again as overbought conditions ease after the early week highs. The plains should see some continued showers especially to the east into the end of the month, while the Black Sea area will continue to see short-term dryness. The dollar is back to the lower end of the recent range in choppy trade with MATIF wheat just off the recent highs as well. Weekly export sales remained rangebound at 78,500 metric tons of old crop, and 304,300 of new. On the KC July Chart support is the 20-day at $6.49, with the fresh high as $7.10 as resistance with the upper Bollinger Band at $7.06 just below that. David Fiala can be reached at dfiala@futuresone.com Follow him on social platform X @davidfiala (c) Copyright 2024 DTN, LLC. All rights reserved.