DTN Midday Grain Comments 06/04 10:45

DTN Midday Grain Comments 06/04 10:45 Corn Higher, Beans Mixed, Wheat Lower at Midday Corn trade is 3 to 4 cents higher; beans are narrowly mixed and wheat trade is 5 to 10 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn trade is 3 to 4 cents higher; beans are narrowly mixed and wheat trade is 5 to 10 cents lower. The U.S. stock market is weaker at midday with the S&P 20 points lower. The dollar index is 5 points lower. The interest rate products are firmer. Energies have crude .80 lower and natural gas .05 lower. Livestock trade is mixed with the hogs the downside leader. Precious metals are weaker with gold down 24.00. CORN: Corn is 3 to 4 cents higher at midday with trade finding light buying after early weakness and few surprises on the weekly crop progress report. Ethanol margins will struggle to start the week with driving demand remaining soft offsetting the corn working the lower end of the range with unleaded futures off a dime so far this week. Rains chances will continue with thinner coverage expected this week compared to last with weekly crop progress showing 91% planted vs. 89% on average and 74% emerged vs. 73% on average with 75% good to excellent, and 4% poor to very poor. South America continues to see double-crop corn size estimates slip with the poor finish. Basis action should continue to remain mostly sideways. The daily wire was quiet after the sale to Spain to start the week. On the July chart, the 20-day at $4.58 is resistance with the Lower Bollinger Band as support at $4.42 which is where we bounced from overnight. SOYBEANS: Soybeans are narrowly mixed at midday with trade looking to consolidate after the recent washout with product action flat to weaker overnight and little other fresh news. Meal is 2.00 to 3.00 lower and oil is 10 to 20 points lower. South America should continue to lead the export market with US new crop booking remaining very light for this time of year with the daily wire remaining quiet. Planting should be set for a better finish as the forecast should open up more into mid-June with the weekly report showing 78% planted vs. 73% on average and 55% emerged vs. 52% on average with first conditions likely to be reported next week. 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 with support at the recent low at 11.46. WHEAT: Wheat trade is 5 to 10 cents lower with KC slipping back below $7.00 up front with world values easing as well with plains harvest expanding this week. Some moisture is expected to linger over the southern plains which could cause isolated quality issues and delays. The dollar is back to the lower end of the range with MATIF milling wheat working back towards the middle of the recent range with more selling late in their session. The short-term forecast shows little change for the Black Sea growing areas which should continue to limit further downside. Weekly crop progress showed heading at 83% vs. 78% on average, with 6% harvested vs 3% on average with 49% good to excellent and 18% poor to very 1% better. Spring wheat is 94% planted vs. 90% on average with 78% emerged vs. 69% on average with 74% good to excellent, and 2% poor to very poor. Weekly export inspections were improved at 416,010 metric tons. On the KC July Chart support is the 20-day at $6.91 which we are just above at midday, 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.