Grains Mixed at Midday
Corn is 1 to 2 cents higher, soybeans are 10 to 12 cents higher, and wheat is 2 cents lower to 2 cents higher.
The U.S. stock market is firmer with the Dow 615 points higher. The dollar index is 88 lower. Interest rate products are weaker. Energies are firmer with crude $0.60 higher. Livestock trade is firmer. Precious metals are mixed with gold down $28.00.
Corn trade is 1 to 2 cents higher at midday with trade finding light buying to open the week with rains still moving through parts of the belt and supportive outside markets with the dollar sharply lower. Ethanol margins remain stable with more plants coming back online with demand improvements needing to be sustained with signs of a plateau in recent days with ethanol and unleaded futures firmer this a.m. Wetter weather will persist in some areas into midweek before a warm up is expected. Weekly export inspections were solid at 1.091 million metric tons, with weekly crop progress showing planting near 90%, and emergence just behind average. On the July contract support is the 20-day at $3.18 which we are tested and held, and the upper Bollinger Band at $3.23 as resistance.
Soybean trade is 10 to 12 cents higher with trade finding support from further easing of harvest pressure and currency gains this AM. Meal is .50 to 1.50 higher and oil is 55 to 65 points higher. China secured 246,000 metric tons of beans, and unknown bought 216,000 metric tons of meal. South America continues to move along harvest wise with strong shipments out of Brazil likely to continue unless port issues redevelop, with the real at multi-week highs which crimps local prices a bit. Crush margins remain solid as well. Weekly export inspections were soft at 333,127 metric tons, with planting progress remaining just ahead of average. The July soybean chart support is the lower Bollinger Band at $8.27, with resistance the 20-day at $8.42 which we have edged above at midday.
Wheat trade is 2 cents lower to 3 cents higher with improved short term US weather, and little change overseas, with support from the weaker dollar so far. Russia looks to have mostly average rainfall near term with France and Germany drier near term. KC is at a 62-cent discount to Chicago on the July with slightly narrower action so far, while Minneapolis is back to a 9 cent premium. Weekly export inspections were rangebound at 457,777 metric tons. Weekly crop progress should show steady winter wheat conditions with maturity still lagging a touch, while spring wheat planting will remain well behind normal. The July KC chart support is the lower Bollinger band at $4.33 which we tested last week before bouncing with resistance the 20-day at 4.66.