DTN Midday Grain Comments 07/12 10:35

DTN Midday Grain Comments 07/12 10:35 Corn, Soybean, Wheat Futures All Lower at Midday Corn futures are 7 to 8 cents lower at midday Friday; soybean futures are 6 to 13 cents lower; wheat futures are 12 to 17 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 7 to 8 cents lower at midday Friday; soybean futures are 6 to 13 cents lower; wheat futures are 12 to 17 cents lower. The U.S. stock market is firmer at midday with the S&P 45 higher. The U.S. Dollar Index is 40 points lower. The interest rate products are mixed. Energy trade has crude .40 higher and natural gas .05 higher. Livestock trade is mostly higher. Precious metals are mixed with gold 5.00 lower. CORN: Corn futures are 7 to 8 cents lower at midday with trade giving back Thursday's gains as selling continues and we head toward the WASDE report at 11 a.m. CDT with oversold conditions still in place. On the WASDE report, trade is looking for old-crop carryout at 2.056 billion bushels (bb) versus 2.022 bb last month, and new crop at 2.279 bb versus 2.102 bb last month with yield at 180.4 bushels per acre (bpa) versus 181.0 bpa with world stocks edging lower. Ethanol margins should remain rangebound in the short term with softer driving demand limiting upside. Warmer weather is expected for much of the Corn Belt in the short term while moisture looks to remain adequate into the end of the month. Basis action should remain sideways into midmonth. On the September chart, the 20-day moving average at $4.22 is resistance with the fresh low at $3.91 1/4 as support with the lower Bollinger Band at $3.76 as the next level down. SOYBEANS: Soybean futures are 6 to 13 cents lower with selling pushing action to fresh lows pre-report while spread strength eases a bit. Meal is 5.50 to 6.50 lower, and oil is 15 to 25 points lower. On the report trade is looking for old-crop carryout at 356 million bushels (mb) versus 350 mb last month, and new crop at 444 mb versus 455 mb last month, with yield at 51.8 bpa versus 52.0 bpa last month with world stocks edging slightly lower. Warmer weather should bolster near-term crop development with overall moisture remaining adequate. Basis should remain mostly steady in the short term with support from spreads. The September chart resistance is at the 20-day moving average at $11.08 with support at the fresh low at $10.53 1/4 scored Friday morning. WHEAT: Wheat futures are 12 to 17 cents lower at midday with trade giving back the Thursday rebound as we remain oversold at the lower end of the range going into the report, holding just above the week lows. On the report, trade is looking for carryout at 787 mb versus 758 mb last year with production at 1.912 bb versus 1.875 bb last month with world production edging slightly higher. Winter wheat harvest is heading toward the homestretch with harvest pressure likely to ease further with spring wheat development likely to continue at a good pace with warmer weather to push things along into the weekend. The dollar remains at the bottom end of the range after the fade Thursday, while MATIF values are weaker fading back to the lower end of the range. On the KC September chart, resistance is the 20-day moving average at $5.94, with the fresh low at $5.61 1/4 as support. David Fiala can be reached at dfiala@futuresone.com Follow him on social platform X @davidfiala (c) Copyright 2024 DTN, LLC. All rights reserved.