WHEAT
General Comments: Winter Wheat markets closed higher again yesterday on speculative buying tied to ideas that the market was very oversold. Winter crops in the Great Plains are reported to be in good condition, but Spring Wheat crops in the northern Great Plains and into Canada have been dry and cold. Some rain was seen in tzhe northern Great Plains last week. Temperatures should be much cooler in most growing areas this week. Chart trends are mixed. Enough Wheat has always been available to the market and demand for US Wheat in export markets has been poor. Dry outlooks for the Black Sea regions are still around. It is hot and dry in important parts of the EU and China. Overall demand for world Wheat has been weak.
Chart Analysis: Trends in Chicago are mixed Support is at 520, 506, and 5q00 July, with resistance at 540, 548, and 561 July. Trends in Kansas City are down. Support is at 514, 500, and 494 July, with resistance at 531, 547, and 557 July. Trends in Minneapolis are mixed to down. Support is at 572, 566, and 560 July, and resistance is at 606, 617, and 621 July.

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RICE

Rice closed a little lower as speculator selling returned to the market. The trends are still turning up in this market. The cash market has been slow with mostly quiet domestic markets and average export demand. Export sales have not been strong, and domestic demand is not strong enough right now to bid prices any higher. Milling quality of the Rice remains below industry standards and it takes more Rough Rice to create the grain for sale to stores and exporters. Rice is planted in most growing areas now. Condition has been rated as good so far by private sources and USDA.
Chart Analysis: Trends are mixed. Support is at 1259, 1225, and 1212 July and resistance is at 1310, 1324, and 1337 July.

CORN AND OATS

General Comments: Corn was higher yesterday as the market reacted to reports of increased short speculators better planting weather in the Midwest. Cooler and drier weather is in the forecast for the coming week after a arm week last week. The somewhat bullish USDA report released on Monday has had little effect on the price action so far this week. Demand for Corn in domestic and world markets remains strong with sales and shipments of above 1.6 million tons in the latest reporting week. It has been warmer and drier in much of the Midwest and planting progress is expected to be much improved this week. Thew weather this week features cool temperatures and periods of rain. Oats were lower, and the trends are about steady in this market.
Chart Analysis: Trends in Corn are mixed to down. Support is at 432, 426, and 420 July, and resistance is at 452, 459, and 463 July. Trends in Oats are mixed. Support is at 336, 332, and 326 July, and resistance is at 350, 353, and 362 July.

SOYBEANS

General Comments: Soybeans and the products were higher in response to the price action in the Corn and Wheat nd in part due to the release of the proposed EPA biofuels mandates. A sharp increase in the use of biofuels is desired by the agency. Export demand is in its seasonal doldrums. Brazil prices remain below those from the US in world markets as basis levels dropped there in response to the tariff news between the US and China. Export demand remains less for US Soybeans as China has been taking almost all the export from South America. Cooler temperatures and drier conditions are expected this week after az warm and wet late week last week.
Overnight News Philippines bought 145,000 tons of US Soybean Meal
Analysis: Trends in Soybeans are mixed. Support is at 1046, 1037, and 1027 July, and resistance is at 1082, 1088, and 1105 July. Trends in Soybean Meal are mixed. Support is at 290.00, 287.00, and 284.00 July, and resistance is at 300.00, 302.00, and 306.00 July. Trends in Soybean Oil are mixed. Support is at 4770, 4730, and 4610 July, with resistance at 5020, 5110, and 5260 July.

PALM OIL AND CANOLA

General Comments: Palm Oil futures were higher yesterday on buying seen in response to strength in Soybean Oil. It eas higher today as Soybean Oil rallied. Ideas of increasing production and reduced demand are still around. Chart trends are down. Canola was higher on the price action in Chicago and despite forecasts for improved planting and development conditions in the Prairies. Trends are turning mixed on the daily charts and on the weekly charts. Canadian goods were exempted from the new round of tariffs but still must deal with the tariffs previously imposed by the US. The weather has generally been good for planting in the Prairies but it is too dry in some areas.
Chart Analysis: Trends in Canola are mixed to up. Support is at 686.00, 680.00, and 662.00 July, with resistance at 716.00, 735.00, and 738.00 July. Trends in Palm Oil are mixed. Support is at 3770, 3710, and 3650 August, with resistance at 3990, 4040, and 4130 August.

Midwest Weather Forecast Mostly dry conditions or isolated showers Temperatures should average below normal.

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