DTN Midday Grain Comments 08/28 10:58

DTN Midday Grain Comments 08/28 10:58 Corn, Beans Lower at Midday Wheat is the midday leader with row crops still working lower. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are firmer with the Dow futures up 40. The interest rate products are firmer. The dollar index is 20 lower. Energies are narrowly mixed with crude narrowly mixed. Livestock trade is sharply lower. Precious metals are mixed with gold down 0.60. CORN Corn trade is 1 to 2 cents lower at midday with trade unable to hold early light strength as soybeans turn lower. Early harvest should continue to expand this week as we get closer to the December contract becoming the front month. Ethanol futures continue to track lower touching with nearby contracts holding $1.30. This is keeping blender margins pretty stout, but not great for producers with lowest prices in sometime. Corn basis has held up pretty well in recent days. The weekly crop progress had conditions unchanged at 68% good to excellent, and 12% poor to very poor, 95% in the dough, 11% ahead of average, 61% dented 19% ahead of average, and 10% mature, 5% ahead of average. The trade aid package put out a penny a bushel for this year's production on the first 50%, and milo was announced at 86 cents on the first 50%. On the December chart futures have support at the recent low at $3.57 1/2 scored Monday, then the $3.50 1/4 contract low printed in July. Resistance is at the 10-day at $3.70. SOYBEANS Soybean trade is 7 to 10 cents lower at midday with the market digesting the aid package for farmers that starts with 1.65 a bushel on the first 50% of production for 2018 and continued demand worries into fall. Meal is $3 to $4 lower and oil is flat to 10 points lower. Basis is expected to see more pressure, especially along areas that feed the PNW. Weekly crop progress had 66% good to excellent and 11% poor to very poor, 1 percentage point higher on the week 95% setting pods, 5% ahead of average, and 7% dropping leaves, vs. 4% on average. Mexico secured meal for the 18 and 19 crop years. On the November chart support is the low at $8.38, with the summer lows at $8.31 below that, and resistance the 10-day at 8.71. WHEAT Wheat trade is 1 to 4 cents higher at midday with trade trying to firm off the fresh lows scored yesterday. Spring wheat harvest should continue to move along at a good clip with varied yields so far and heading quickly for the home stretch with the crop 77% harvested vs. 61% on average. The U.S. dollar continues to work lower, now 2 percentage points off the recent highs. Matif wheat is firmer this morning as well. Russian domestic values are still rising, which will be a pressure point for exports. Australia remains on the dry side with the crop pace ahead of normal as some showers move through in the near term. Trade aid was announced at 14 cents on the first 50% of production. On the December Kansas City chart, we have support at the fresh low of $5.26 with the 50-day at $5.46 first resistance. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered adviser. He can be reached at [email protected] Follow him on Twitter @davidfiala (BAS) Copyright 2018 DTN/The Progressive Farmer. All rights reserved.