DTN Midday Grain Comments 09/26 11:32

DTN Midday Grain Comments 09/26 11:32 Grains Mixed at Midday Soybeans lead at midday with gains, with corn and wheat mixed. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are firmer with the Dow futures up 55. The interest rate products are weaker. The dollar index is 15 higher. Energies are weaker with crude down 0.40. Livestock trade is narrowly mixed. Precious metals are mixed with gold down $6.70. CORN Corn trade is narrowly mixed at midday with light two-sided trade so far today with action creeping towards the next resistance levels. Mother Nature is providing some wet harvest conditions which are noted slowing harvest progress in many areas, with other areas remaining open enough to run. The weekly ethanol report showed production down by 15,000 barrels per day, but still well ahead of last year's levels, and stocks down 117,000 barrels, with ethanol futures testing 1.30 a gallon in firmer action. Corn basis will likely see more pressure harvest here in the near term but delays could limit pressure in some areas. On the December chart the 10-day, at $3.53, and 20-day at 3.58 today are our support levels. Resistance is at the $3.67 1/2 50-day then the $3.69 3/4 one-month high. SOYBEANS Soybean trade is 4 to 8 cents higher at midday with trade still working to consolidate over $8.50 with more demand optimism even as harvest moves on with a large export sale of 671,934 metric tons announced to Mexico. Meal is $2.00 to $3.00 higher and oil is 10 to 20 points higher. Soybean basis remains historically wide across the belt with storage and shipping concerns continuing to dominate with the recent uptick in fresh sales needing to be sustained in the near term. Crush margins remain strong with oil starting to show broader strength with Palm oil firmer on the world market. Early planting in South America is underway with conditions on the dry side going in but no major concerns expected at this juncture with Southern Brazil turning wetter. The Brazilian and Argentine currencies remain historically cheap. On the November chart support is the 20-day at $8.38 with the 10-day below that at $8.36, with resistance the recent high at $8.58 scored Tuesday. WHEAT Wheat trade is flat to 5 cents higher with quiet trade at midday with the winter wheat contracts leading with trade finding footing after the Tuesday weakness. The U.S. dollar is at the bottom of the recent range with better footing expected ahead of the Fed rate hike anticipated to be coming this afternoon. Russia will continue to work on spring wheat harvest and winter wheat planting with little change in the weather patterns, with harvest in Canada trying to finish as well. Australia looks to continue the recent weather pattern with more feed grain imports possible. Matif wheat is slightly higher this morning. On the December Kansas City chart we have support at the 10-day at $5.20 with resistance at the 20-day at $5.25, which we are just above at midday with the 200-day at $5.42 the next round up. 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 him on Twitter @davidfiala (BAS) Copyright 2018 DTN/The Progressive Farmer. All rights reserved.