DTN Midday Grain Comments     06/17 11:13

   Grain Trade Mixed at Midday

   Corn and wheat work higher at midday after pressure overnight, beans remain 
negative but working higher.

By David Fiala
DTN Contributing Analyst

General Comments

   The U.S. stock market indices are higher with the Dow futures up 160. The 
interest rate products are higher. The dollar index is 14 higher. Energies are 
mixed with crude up $0 .20. Livestock trade is mostly higher. Precious metals 
are lower with gold off $7.

   CORN

   Corn trade is firmer at midday with July up 12, September up 5 and December 
up 4. Outside markets are friendly to start the week. Weather remains mostly 
wet, and mostly warm in the near term, which should help to improve crop 
progress. The USDA is expected to move towards ruling corn planting complete 
for the year, and will let the trade debate lost acres for a while. Crop 
conditions are expected to improve to the 65-66% good to excellent level this 
week, and export inspections improved to 14.4 million bushels, although this is 
still historically soft. Bull spreading is expected to remain firm this week 
now that the fund rolls are complete. The December contract has support at 
$5.25 and $5.12 for now.

   SOYBEANS

   Soybean trade is 5 to 12 lower at midday, bouncing a dime off of the initial 
overnight lows. Meal is $1 to $3 lower, and oil is 30 to 40 points higher. The 
November 200-day is at $12.92; we dropped below it this morning. The 20-day is 
now up to $12.85; trade is holding above there at midday. Planting progress is 
expected to move into the high 80% range today, and the forecast looks a little 
more open in the near term for the most behind areas. NOPA crush out this 
morning should be in the range of 117-119 mb, which will reflect the tightness 
in old-crop stocks. The weekly export inspections were low at 2.76 million 
bushels. 

   WHEAT

   Wheat trade is 2 to 6 higher across the three exchanges in quiet trade this 
morning. There was limited wheat news over the weekend, with South Korea 
looking for feed wheat but little else. July Chicago has support at $6.74, the 
May low, then $6.65, the April low. Harvest should continue to expand this week 
as hotter temps push the wheat towards maturity, but there could be some rain 
delays in the central and eastern hard wheat belt. Spring wheat will continue 
to debate acres for a while until Canadian planting is mostly complete as well. 
Crop conditions will likely be steady on winter wheat with harvest progress 
moving up from 5 percentage points last week, and spring wheat conditions 
should show a little improvement towards 68-70% good to excellent. The weekly 
export inspections were good at 21.6 million bushels.

   David Fiala is a DTN contributing analyst and the President of FuturesOne 
and a registered Trading Adviser


(BS)

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