DTN Midday Grain Comments 03/17 11:30

DTN Midday Grain Comments 03/17 11:30 Grain Trade Mixed at Midday Trade is mixed at midday with soybeans leading, and wheat struggling. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow futures up 95 points. The interest rate products are mixed. The dollar index is 105 lower. Energies are higher with crude up 1.30. Livestock trade is mostly higher. Precious metals are higher with gold up $35. CORN Corn trade is narrowly mixed at midday with trade fading from the early gains with pressure from the sliding wheat market after testing resistance this morning. Ethanol margins are fairly steady with futures holding sideways while corn and unleaded trade rallies a bit. Heavy rains in the Mississippi Delta are slowing planting progress with more rain showing in the extended forecasts. The large short position could help fuel a bigger move on strength if the trend remains up going into Friday. The rally in corn should trigger additional farmer selling to keep some pressure on the basis. The weekly export sales were strong at 1.23 million metric tons. On the May chart support is now at the 50-day moving average at $3.66 after we closed above it Monday. The 100---day at $3.76 3/4 is the next upside major moving average, then the 200-day at $3.90. SOYBEANS Soybean trade is 2 to 5 cents higher at midday with renewed buying on the weaker U.S. dollar and Brazilian unrest picking up again overnight but trade was unable to hold the higher level of the market. Meal is $1 to $2 lower, and oil is 70 to 80 points higher. South American harvest should continue to progress on a normal pace but shipping delays could linger especially if strikes begin to crop up again in Brazil. The oil side of the crush complex has been the strongest lately, and will need to stay that way to support crush into spring. Basis could see some pressure from increased farmer selling with the rally. The weekly export sales were decent with 623,700 metric tons of old crop, 235,100 of new crop, 83,400 of meal, and 17,500 of oil. On the May soybean chart support is the 100-day moving average at $8.82, resistance is at the fresh two-month high printed this morning at 9.04 1/2, then the 200-day at $9.05. WHEAT Wheat trade 7 to 11 cents lower at midday with trade selling off after being unable to sustain early gains. Supply will continue to overhang the market and the short sellers are defending positions this morning. The sharply weaker dollar will add support if sustained. The Southern Plains look to stay dry in the near term, along with colder temperatures this weekend potentially dinging the crop a bit, with forecasts putting much of Kansas in the 20's. Export sales remain soft at 212,900 metric tons. On the May Kansas City chart we have faded back towards the 20-day at $4.68, with upside resistance now the 50-day at $4.71, and the 10-day at $4.78. 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 2016 DTN/The Progressive Farmer. All rights reserved.