DTN Midday Grain Comments 08/17 11:09

DTN Midday Grain Comments 08/17 11:09 Grains Trending Higher at Midday Trade is firmer at midday in quiet action. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are weaker with the Dow futures down 70 points. The interest rate products are mixed. The dollar index is 9 points higher. Energies are mixed with crude down $.20. Livestock trade is mixed. Precious metals are weaker with gold down $5.70. CORN Corn trade is flat to 2 cents higher at midday with firmer trade developing during the day session. Weekly ethanol production was stronger with weekly production tying the weekly record set in July at 1.029 million barrels a day, with stocks down 0.2 percentage points on the week with strong demand. Cooler weather later this week should slow the pace of maturity with ample moisture most places. Basis has been pretty flat with ample old crop still in the pipeline. December chart support is the 10-day at $3.33, with the $3.22 1/2 fresh contract low printed Friday. Resistance is at the 20-day at $3.37 which we are slightly above at midday. The next major moving average to the upside is not until the 50-day at $3.72 so the next area of resistance we would point to above the 20-day is the late July high at $3.46. SOYBEANS Soybean trade is 5 to 10 cents higher at midday with trade working to consolidate above the $10.00 mark with demand remaining fairly supportive as another 329,000 metric tons of soybeans sold to China for new crop. Meal is flat to $1 lower, and oil is 70 to 80 points higher. Trade will continue to look for fresh export sales, with soyoil being more of the complex leader with the smaller Asian supplies of palm oil. Weather looks to remain non-issue near term with some flood concerns for growth and shipping in some areas. On the November soybean chart, trade has support at $10.00, with the 10-day at $9.88 below that. The 100-day at $10.22 is nearby resistance then the 50-day at $10.56. WHEAT Wheat trade is 2 to 6 cents higher with Minneapolis trade continuing to show the most strength as the higher protein wheat is finding strong demand amidst a low protein harvest year. The dollar remains at the lower end of the range adding support as well. The remaining northern hemisphere harvest should continue to move along. The Minneapolis contract has moved to flat on the Sep/Dec spread with an inverse at time as demand is pulled forward. On the Kansas City December chart support is at the $4.24 contract low. Resistance is at the $4.46 August high, made earlier this week, with trade hanging around the 10 and 20-day moving averages at $4.37-38, which we are just above at midday. 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.