DTN Midday Grain Comments 12/14 11:19

DTN Midday Grain Comments 12/14 11:19 Corn, Soybeans Lower at Midday; Wheat Mixed Row crops are slightly lower at midday, and wheat is mixed. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are lower with the Dow futures down 15. The interest rate products are lower. The dollar index is 30 points lower. Energies are mixed with crude down $0.70. Livestock is mostly higher. Precious metals are mixed with gold up $5.10. CORN Corn trade is 1 to 3 cents lower in fairly quiet trade at midday with some light, two-sided trade seen so far. Trade remains near the upper end of the range overall, though. Ethanol margins are very positive, which should support production in the near term, with the weekly report showing production 1.66% higher, and stocks 2.95% higher. Feed grain exports are expected to remain solid even if they aren't hitting the daily wires. On the March chart support is at the 50-day major moving average at $3.56, then the $3.41 3/4 two-month low. Resistance is at the $3.64 one-month high. SOYBEANS Soybean trade is 1 to 4 cents lower at midday with the wetter forecast for Argentina adding some pressure with commercial demand still showing support. Meal is $1 to $2 lower, and oil is 15 to 25 points lower. The South American forecast looks to bring better rain to Argentina over the weekend. Forecast agreement is not great at this point, and will need to be watched closely. Brazil remains in good shape overall. China remains active on the daily export wire, which will continue to be watched. So, good demand items should continue to support beans on breaks, and big supplies limit buying and bring in farmer selling on strength. Basis has remained fairly stable this week. On the January chart the 50-day at $10.04 is support with resistance the 20-day at $10.29. WHEAT Wheat trade is mixed at midday with trade continuing to chop around, holding the upper end of the recent range. KC wheat is finding the most support this morning. The cold extended forecast and the weaker dollar helped trade should add support today. Supplies will continue to weigh on the market and limit upside, with Australian harvest continuing to move forward. The spread action is favoring protein overnight, but overall the protein premiums have been flat to lower this week. On the KC March chart support is at the $3.99 3/4 contract low printed Wednesday, resistance is at the $4.17 20-day moving average which is the lowest major moving average. 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.