DTN Midday Grain Comments 05/06 10:57

DTN Midday Grain Comments 05/06 10:57 Corn, Soybeans, Wheat Higher by Midday Monday Corn trade is 7 to 8 cents higher. Beans are 20 to 22 cents higher and wheat trade is 8 to 22 cents higher. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is firmer at midday with the S&P 28 points higher. The dollar index is narrowly mixed. The interest rate products are weaker. Energies have crude .40 cent higher and natural gas .08 cent higher. Livestock trade is mostly higher with cattle leading. Precious metals are firmer with gold up $24.40. CORN: Corn is 7 to 8 cents higher at midday with fresh highs for the move being scored with broad risk on trade in ags developing during the day session. Ethanol margins will see pressure from corn strength but we have seen some recent driving demand improvement. Near-term weather should open up a bit after today's system to allow planting pace to pick back up into mid-month with progress slow for now. The daily wire was quiet today with weekly export inspections solid at 1.286 million metric tons (mmt). Weekly crop progress is expected to be close to the five-year average for planting and emergence. The recent patterns in South America continue with some short-term dryness for double-crop corn areas along with excess rain causing disease issues in the first-crop areas to the south. On the July chart, the 20-day at $4.48 is nearby support with the fresh high at 4.70 the next level of resistance. SOYBEANS: Soybeans is 20 to 22 cents higher at midday with broad product strength and risk on trade with production concerns in South America from excess rain, and short-term planting slowness in the US. Meal is $8.50 to $9.50 higher and oil is 70 to 80 points higher. South American bushels should continue to attract the most export attention as harvest rolls on in South America with excess rains hindering some areas as production estimates fade for the southern growing areas. The daily wire was quiet today with weekly export inspections inline seasonally at 348,654 metric tons (mt). The more open weather after the current system should help planting into mid-month with weekly crop progress likely showing planting and emergence staying ahead of the five-year average. July soybean futures have resistance at the $12.40 recent high. Chart support is at the 20-day moving average of $11.79, which we moved back above last week. WHEAT: Wheat trade is 8 to 22 cents higher at midday with the initial gap lower off rains on the plains giving way to fresh highs with trade following the surge in Euro values on falling quality in France, and Black Sea dryness concerns. The Plains will see storms today to bring rain and potentially damaging conditions, while Black Sea forecasts continue to be concerning. Weekly export inspections were in line with recent weeks at 321,124 mt with weekly crop progress showing conditions slightly lower and maturity ahead of the five-year average with spring wheat planting still ahead of the five-year pace. The dollar continues to hold the lower end of the recent range with MATIF wheat sharply higher. On the KC July chart, support is the 20-day at $6.10, with the fresh high at 6.72 as further 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.