DTN Midday Grain Comments 12/23 10:57

DTN Midday Grain Comments 12/23 10:57 Grains Flat to Lower at Midday Trade is mostly lower at midday in quiet action ahead of the Christmas break. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are flat to lower with the DOW futures down 9. The interest rate products are higher. The dollar index is 10 points lower. Energies are mixed with crude down .07. Livestock is mostly lower ahead of the reports today. Precious metals are mixed with gold $3.20 higher. CORN Corn trade is flat to 2 cent lower at midday with a narrow range so far of a penny and three quarters as we head towards a noon close for Christmas today, with the markets not reopening until Monday night. The negative chart action could trigger some further selling today, or we may just drift into the weekend. Ethanol margins remain stable with crude still holding over $50 level, and cheaper corn adding support to margins. Weaker unleaded prices have crimped blender margins this week with ethanol futures down slightly at midday. Corn basis should be firm with futures are slipping. The USDA announced 110,800 metric tons sold to unknown. On the March chart, support is at the $3.41 3/4 December low; resistance is at the $3.50 1/2 100-day moving average then the $3.55 20-day. SOYBEANS Soybean trade is 2 to 5 cents lower at midday with trade drifting lower into the weekend on limited volume. Meal is flat to $1 lower and oil is 15 to 25 lower. The weather looks better with some questions still lingering in the extended forecast with the earliest soybeans Brazil starting to come out although the bulk of the crop is still a ways off. Soybean basis should be steady to firmer if futures continue to slip. On the March chart, support is at $10.03, the 200-day which we are around at midday, then the 100-day at $9.92. Resistance is at the 10-day at $10.35. WHEAT Wheat trade is flat to 3 cents lower at midday with trade continuing to drift in the recent range in thin Holiday trade. The dollar remains at the upper end of the range which will continue to limit action. Weather for the winter wheat areas looks fairly non-threatening with some moisture in Kansas and no big export news has shown up. The Southern Hemisphere harvest should continue to move along with good yields adding to the world supply situation. On the Kansas City March chart, support is the $3.99 low, with the 10-day at $4.11 resistance. There are limited fundamental reasons to be long wheat here other than long-term low prices. 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.