DTN Midday Grain Comments 11/25 11:08

DTN Midday Grain Comments 11/25 11:08 Grains Mixed at Midday Beans are lightly higher, corn and wheat lower in slow holiday trade. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are higher with the Dow futures up 44 points and the S&P up 6. The interest rate products are mixed. The dollar index is 30 lower. Energies are lower with crude down 1.50. Livestock trade is higher. Precious metals are mixed with gold down $8. CORN Corn trade is 1 to 2 cents lower at midday with our abbreviated session only seeing a 2 cent trading range so far; weekly sales have limited downside. Futures close at noon. December option expiration today should still have us some action, but it just appears $3.50 is a barrier we will stay below. Ethanol margins remain very good with January ethanol futures up fractionally at midday with corn lower. Export demand in 2017 will be watched closely as it may be the key to continued positive production margins. Corn basis has continued to find some seasonal firmness but is not moving very quickly; any higher board trade appears to be finding farmer selling interest. The weekly export sales number came out today due to the holiday yesterday; they were strong at 1.69 million metric tons. On the March chart support is at the $3.55 level where we find the 100-day and 20-day, resistance is at the $3.69 4-month high then the 200-day at $3.76. December futures move into delivery next week. SOYBEANS Soybean trade is 3 to 4 cents higher at midday with trade continuing to push higher with a new 4-month high for the third session in a row. Meal is $3 higher, and oil is 40 lower with trade some corrective activity after the huge rally in oil and break in meal on Wednesday. South American weather should be a non-issue near term with planting progresses and only minor weather concerns. Basis should continue to hold up with strong nearby demand for beans and products pushing the board higher; basis is expected to strengthen if the board corrects. The weekly export sales were strong at 1.9 million metric tons of beans, 224,200 of meal, and 14,400 of oil. On the January chart support is the 10-day and 20-day at $10.01, with the 200-day at $9.93 below that, with resistance the recent high at $10.40, then the longer term high at 10.61. WHEAT Wheat trade is mixed with Minneapolis wheat 5 cents firmer, and KC and Chicago 1 to 4 cents lower. The supply overhang will continue to work against trade as well with dollar values remaining elevated. Export business continues to go to the Black Sea with some business going midweek. Cooler weather should limit moisture stress on the western plains, but the situation will need to be watched with the drier weather so far this fall. The weekly export sales were good at 712,500 metric tons. On the KC December chart, trade was able to get back over the 10-day at $4.08, the 20-day at $4.11, and the 50-day at $4.13 becoming support, and overhead resistance at $4.28. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered adviser. He can be reached at dfiala@futuresone.com Follow Fiala on Twitter @davidfiala (BAS) Copyright 2016 DTN/The Progressive Farmer. All rights reserved.