DTN Midday Grain Comments 09/29 11:51

DTN Midday Grain Comments 09/29 11:51 Grains Mixed at Midday Grain trade is narrowly mixed in slow pre-report trade; USDA Quarterly Stocks due out tomorrow. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are lower with the dow down 40 points. The interest rate products are higher. The dollar index is 8 points higher. Energies are mixed with crude up 0.50. Livestock trade is mixed in quiet trade. Precious metals are mixed with gold down $3.10. CORN Corn trade is narrowly mixed at midday with early support fading as wheat turned lower and beans lost double digit gains. Ethanol margins are fairly stable with the improved energy prices adding some cushion. The weather forecast looks open except for some areas the east which should allow good harvest progress overall this week; progress should be around normal on the report Monday. The USDA September 1 Quarterly Stocks report is will be released at 11a.m. tomorrow. The average trade guess is at 1.757 billion bushels with a range of 1.665-1.862 billion versus 1.716 on the September WASDE old crop balance sheet. The weekly export sales were a bit disappointing this morning at 575,000 metric tons. December chart support is at $3.26 1/2, the 3 week low, then the contract low at $3.14 3/4. The 20-day at $3.33 1/4 is nearby resistance then $3.40, last week's high, then $3.44 1/4, the August-September high. SOYBEANS Soybean futures are 1 to 2 cents higher at midday after seeing double digit gains overnight. Meal is $1.50 lower and bean oil is 30 points higher. Harvest pressure should continue to build with the more open weather in the west allowing farmers to play catch up after the slow start. This could have us test the multi-month low from early in the week before we close for the week. The Quarterly Stocks average trade guess is 202 million bushels versus 195 on the September WASDE old crop carryover estimate. The range of estimates is 158-256 million. The daily export wire has been active in recent days, with trade expecting China to remain active in covering supplies for fall. The South American pattern looks to be mixed weatherwise in the near term. The weekly export sales were strong with 1.69 million metric tons of soybeans, 88,800 of meal, and 17,700 of oil. November soybean chart support is at $9.34, the 6-month low. Resistance is at the $9.60 20-day moving average. WHEAT Wheat trade is mixed at midday with Chicago down 4, KC down 2 and Minneapolis up 2 cents. The dollar remains fairly range bound keeping the world export competitiveness around the same as recent days with more interest out of north Africa expected for fall coverage. Any positive fresh export news will limit downside, but we need consistent news to get some demand buying going in the bigger picture. The September 1 Wheat stocks average trade guess is at 2.398 billion bushels; the range of estimates is 2.1-2.558 billion. The weekly export sales were good at 570,800 metric tons. On the KC December chart support is at $4.16, the 20-day and lowest major moving average; resistance is at $4.25 3/4 which is the September high. David Fiala can be reached at dfiala@futuresone.com Follow Fiala on Twitter @davidfiala (BAS) Copyright 2016 DTN/The Progressive Farmer. All rights reserved.