DTN Midday Grain Comments 06/20 10:49

DTN Midday Grain Comments 06/20 10:49 Corn, Soybean, Wheat Futures Lower at Midday Corn futures are 4 to 6 cents lower at midday Thursday; soybean futures are 6 to 9 cents lower; wheat futures are 4 to 10 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 4 to 6 cents lower at midday Thursday; soybean futures are 6 to 9 cents lower; wheat futures are 4 to 10 cents lower. The U.S. stock market is firmer at midday with the S&P 7 points higher. The U.S. Dollar Index is 28 points higher. The interest rate products are weaker. Energy trade has crude .45 higher and natural gas .11 lower. Livestock trade is lower after early strength. Precious metals are firmer with gold up 23.00. CORN: Corn futures are 4 to 6 cents lower at midday with trade fading back from nearby resistance again with broad commodity weakness in Thursday morning, while spread action remains flat to firmer. Ethanol margins should remain rangebound with the weekly report showing production up by 24,000 barrels per day (bpd), and stocks 400,000 barrels higher. Warmer weather looks to carry through the end of June with the east drier and the north and west wetter. Basis action should stay steady in the short term. Weekly export sales are delayed until Friday with expectations for 600,000 to 950,000 metric tons (mt) sold. On the July chart, the 20-day moving average at $4.51 is resistance with the Lower Bollinger Band as further support at $4.37, which we bounced from last week. SOYBEANS: Soybean futures are 6 to 9 cents lower at midday with trade holding much of the Tuesday gains with mixed product action so far and spreads easing back to flat after early strength. Meal was 3.00 to 4.00 lower and oil is flat to 10 points lower. Planting should wind down with the heaviest rains in the areas that are mostly complete with early growth likely to stay solid. South America should continue to lead the export market. Weekly U.S. export sales are expected to be in the 500,000 to 750,000 mt range Friday. Basis should remain mostly steady in the short term. The July chart resistance is at the 20-day moving average at $11.96 with support at the lower Bollinger Band at 11.44. WHEAT: Wheat futures are 4 to 10 cents lower at midday with trade extending oversold conditions as harvest pressure continues to build as we likely draw closer to the halfway point in the U.S. but we have seen spread action firm a bit as we come off the fresh lows scored early in the session. Plains weather should be mostly open in the short term to keep combines rolling while SRW in the east moves along quickly as well with the warmer and drier weather. The dollar is holding at the top of the range with MATIF action bouncing off fresh lows for the move and getting oversold as well after edging slightly higher Wednesday. Weekly export sales are expected to be in the 300,000 to 450,000 mt range Friday. On the KC July chart, resistance is the 20-day moving average at $6.70, with the lower Bollinger Band at $5.86, which we bounced from Thursday morning. David Fiala can be reached at dfiala@futuresone.com Follow him on social platform X @davidfiala (c) Copyright 2024 DTN, LLC. All rights reserved.