DTN Midday Grain Comments 06/03 10:53

DTN Midday Grain Comments 06/03 10:53 Corn, Beans and Wheat all Lower at Midday Corn trade is 5 to 6 cents lower; beans are 16 to 18 cents lower and wheat trade is flat to 2 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn trade is 5 to 6 cents lower; beans are 16 to 18 cents lower and wheat trade is flat to 2 cents lower. The U.S. stock market is mixed at midday with the S&P 500 5 points lower. The dollar index is 50 points lower. The interest rate products are firmer. Energies have crude 2.50 lower and natural gas .07 higher. Livestock trade is a bit weaker. Precious metals are firmer with gold up 16.00. CORN: Corn is 5 to 6 cents lower at midday with early two-sided action turning solidly lower in broad risk action. Ethanol margins will struggle to start the week with driving demand remaining soft offsetting the corn weakness. Rains look to linger short-term across much of the belt, but weekly crop progress should keep planting at or near the 5-year average with the first conditions likely to indicate the crop is off to a good start overall. South America is expected to see little short-term change as we get deeper into the growing season for double-crop corn. Basis action should continue to remain mostly sideways. Weekly export inspections were good on the week at 1.374 million metric tons with 110,000 metric tons of old crop to Spain on the daily wire. On the July chart, the 20-day at $4.60 is resistance with the Lower Bollinger Band as support at $4.45 which we are below overnight. SOYBEANS: Soybeans is 16 to 18 cents lower at midday with the early day session rebound attempt faltering as oil led the product complex lower. Meal is 1.50 to 2.50 lower and oil 130 to 140 points lower. South America should be able to push more bushels into export channels coming into June as the recent issues resolve themselves into mid-month. The daily wire remained quiet with weekly export inspections still soft seasonally at 348,644 metric tons. Planting should be set for a better finish as the forecast should open up more into mid-June with the weekly report expected to show planting and emergence ahead of the 5-year average. Basis should remain steady short term with little change to crush margins. The July Chart resistance is at the 20-day moving average at $12.25 which we faded through midweek then the 12.00 area nearby as support which we are below at midday. WHEAT: Wheat trade is flat to 2 cents lower with trade fading back from early gains as row crops and early harvest pressure help to find selling again. We saw weekend storms over much of the plains with chances remaining as combines start to roll which could limit quality early on. The dollar is back to the lower end of the range with MATIF milling wheat giving back gains as well. The short-term forecast shows little change for the Black Sea growing areas which should continue to limit downside. Weekly crop progress is expected to show slightly lower conditions for winter wheat with maturity slowing to closer to the 5-year average, with spring wheat planting near complete with first condition report in generally good shape. Weekly export inspections were improved at 416,010 metric tons. On the KC July Chart support is the 20-day at $6.91, with the fresh high as 7.46 as 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.