DTN Midday Grain Comments 09/06 11:23

DTN Midday Grain Comments 09/06 11:23 Grains Mixed at Midday Soybeans are firmer at midday, while corn and wheat are seeing light midday losses. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow down 10 points. The interest rate products are lower. The dollar index is 85 points lower. Energies are mixed with crude flat. Livestock trade is mostly lower. Precious metals are firmer with gold up $17.90. CORN Corn trade is 2 cents lower at midday; the range since last night has been a nickel lower to a penny higher so the upward momentum from last week has stalled. Firmer soybean trade appears to be holding corn up here at midday. Ethanol margins should open the week fairly stable with good margins encouraging production. Corn basis will remain on the defensive with more harvest getting underway this week. The crop is expected to continue to advance with warmer temperatures in the near term, which should keep conditions steady and progress ahead of normal on the weekly report. The weekly export inspections remained strong at 1.47 million metric tons. Private yield guesses continue to run in the 170-175 BPA range keeping expectations high. On the chart, trade has support at the $3.14 3/4 low, with resistance at the 10-day of $3.26 which we are trading around this morning, and the 20-day at $3.31 just ahead of that. SOYBEANS Soybean futures are 6 to 8 cents higher at midday with demand items noted for the higher trade and the weak dollar. Meal $2 to $3 higher and oil is 30 points higher with strong Asian palm oil prices overnight. The marketplace is looking for the daily export activity wire to remain active as we move into September, although no sales were announced today. Early planting in Brazil is now about 7-10 days away which will start attracting more attention soon. Wetter weather in much of the belt should help the crop to finish out along with warmer temperatures pushing trade with conditions expected to remain steady, and progress ahead of normal. Private yield guesses came in at 49.5 bpa, edging higher than the USDA with more talk of a 50 BPA national average. The weekly export expectations were very strong at 1.23 million metric tons. On the November soybean chart support is the $9.38 area that has held this week, with the $9.30 April low below that, with first resistance the 200-day at $9.67 above that. WHEAT Wheat trade is 2 to 5 cents lower across the three contracts at midday with trade looking to consolidate the better action from the end of last week. The sharply weaker dollar has not triggered much short covering yet. Canadian harvest should continue to move along, with Russia nearing the end of their harvest. U.S. export competitiveness has improved, with more demand showing for HRW for milling, with trade looking for confirmation of more sales. U.S. spring wheat harvest should be effectively complete when the weekly progress report comes out. The weekly export inspections were improved at 639,154 metric tons, with inspection pace remaining well ahead of last year. On the Kansas City December chart, support is now the $3.95 low from last week, with trade well below the nearby moving averages with the 10-day at $4.14 first resistance. 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.