DTN Midday Grain Comments 12/23 11:23

DTN Midday Grain Comments 12/23 11:23 Little Action on Grain Trade at Midday Trade is narrowly mixed in quiet trade at midday. By David Fiala DTN Contributing Analyst General Comments The U.S. stock markets are higher with the Dow up 140 points. The interest rate products are higher. The dollar index is 36 points higher. Energies are higher with crude $1.00 higher. Livestock trade has cattle near limit higher again with hogs mixed. Precious metals are mixed with gold down $6. CORN Corn trade is flat to 1 cent lower in quiet trade at midday. Ethanol margins remain have showed improvement today with unleaded gaining 3-4 cents vs. ethanol, and the weekly ethanol production report showed production down 27,000 barrels per day, and stocks were 100,000 higher on the week. The thinner holiday trade could trigger some surprises this week as we will only trade until noon on Thursday. On the March chart we have faded below the 20-day moving average at $3.73 yesterday which are nearby resistance now, then the 50-day at $3.78. Chart support is at $3.62 1/2 which is the fresh contract low printed on Friday. SOYBEANS Soybean trade is 2 to 5 cents lower at midday with commercial support on the front months while overall weakness drags trade down. Meal is $2 to $3 lower and oil is flat to 10 points higher. Persistence South American weather concerns are here to note with the near term keeping dryness intact for Mato Grosso especially, but the extended forecast shows improvement. Trade will continue to follow updated forecasts closely as we move through the more thinly traded holidays here. January soybean chart support is at the 20-day moving average at $8.81, with resistance at the $8.99 100-day moving average. WHEAT Wheat trade is narrowly mixed at midday with trade chopping along sideways in slow action. The dollar has remained in the lower end of the past months range which should help add support but it is working higher today. Egypt bought wheat from Argentina for the first time since 2012. Northern hemisphere weather issues are not expected in the near term, with storms moving across the U.S. wheat belt adding moisture, and cold air expected to be moderate in Russia. On the March Kansas City chart, support is at the $4.63 3/4 contract low printed at the beginning of the month, with nearby resistance the lowest major moving average at $4.77 the 20-day moving average. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered trading adviser. David Fiala can be reached at dfiala@futuresone.com Follow David Fiala on Twitter @davidfiala (BAS) Copyright 2015 DTN/The Progressive Farmer. All rights reserved.