DTN Midday Grain Comments 10/03 11:30

DTN Midday Grain Comments 10/03 11:30 Grains Mixed at Midday Trade is mixed at midday. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are firmer with the Dow futures up 140. The interest rate products are firmer. The dollar index is 15 higher. Energies are mixed with crude flat. Livestock trade is mostly lower. Precious metals are mixed with gold down $4.00. CORN Corn trade is narrowly mixed at midday with trade still struggling to push through the next level of resistance. Harvest will slow with wet weather through much of the belt, and an increased focus on getting soybeans out. Weekly ethanol production showed production down 21,000 barrels per day, with stocks higher by 816,000 barrels with ethanol futures just above $1.30. Corn basis is expected to stay sideways to soft with wet weather limiting weakness. Japan secured 230,000 metric tons of new crop corn on the daily wire. On the December chart the 10-day at $3.62, then the 20-day at $3.58 is support and the 50-day at $3.67 is resistance, with the 100-day at 3.77 3/4 the next level of resistance. SOYBEANS Soybean trade is 2 to 4 cents lower at midday with trade overbought conditions battling the harvest delays. Meal is $3.00 to $4.00 lower and oil is flat to 10 points higher. Soybean basis has found some footing with the delays, although it remains abnormally wide. 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 little nearby weather concerns with parts of Argentina remaining dry, and some concern about NE Brazil coming forward. The Brazilian and Argentine currencies remain historically cheap. On the November chart support is the 50 day at $8.62 which we are testing at midday, with the 10-day at $8.52 below that, with resistance the recent high at $8.70. WHEAT Wheat trade is flat to 2 cents higher with trade still struggling to sustain gains after reports of temporary halts to exports at some Russian ports. The US dollar remains near the upper end of the recent range with upward momentum slowing. World spring wheat harvest is struggling to finish with some challenging weather with winter wheat planting ongoing with better conditions in North America than Europe. Australia saw some freezing temperatures again. Matif milling wheat is firmer this morning as well. On the December Kansas City chart, we have support at the 20-day at $5.18 which with resistance the upper Bollinger Band at $5.33. 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.