DTN Midday Grain Comments 10/25 11:02

DTN Midday Grain Comments 10/25 11:02 Trade Turns Higher Across Grains at Midday Corn is 1 to 3 cents higher, soybeans are flat to 2 cents higher and wheat is 1 cents lower to 5 cents higher. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market is firmer with the Dow up 180. The dollar index is 15 higher. Interest rate products are firmer. Energies are mixed with crude up 0.17. Livestock trade is firmer. Precious metals are firmer with gold up $6.50. CORN Corn trade is 1 to 3 cents higher with trade firming off early lows to get back toward short-term resistance at midday with light buying. Harvest will expand in some areas into the weekend, but will remain off the pace overall with another big cold shot early next week. Ethanol futures are steady to higher, holding margins in place heading toward the weekend. Basis remains flat to weaker with areas of localized strength still holding up. South America looks to remain in the same weather pattern for now as planting continues. On the December contract, support is the recent low at $3.84, then the 50-day at $3.77 the next level of support. Chart resistance is at the 10- and 20-day at $3.90, which we are just below at midday. SOYBEANS Soybeans are flat to 2 cents higher as trade bounced off a test of the lows early in the day session with trade optimism still underpinning the market. Meal is flat to $1.00 higher, and oil is 10 to 20 points lower. Crush margins remain solidly positive, along with trade backing off overbought conditions. The real has firmed but remains range bound, albeit at the top end right now. Bean basis should see pressure as combines continue to roll with the homestretch of harvest nationally likely next week. South America should make more progress this week and into the second half of the month with some weather issues remaining and planting pace still solidly behind. On the November chart, support is the 20-day at $9.26 with the 10-day just above the market at $9.33, which we are testing at midday. WHEAT Wheat trade is 1 cent lower to 5 cents higher at midday with better buying during the day session with row-crop support and windy drier conditions in the west as planting wraps up. The Chicago/KC December spread is 98 cents with mostly steady action Friday. The corn/HRW spread has narrowed back to 35 cents, with wheat still on the edge of rations. Export action continues to be dominated by Black Sea origin, but their prices have firmed while Australia remains dry. The December KC chart support is the 20-day at $4.17 with the 10-day at 4.24, which we are testing at midday. The upper Bollinger band is right at $4.35. 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 (CZ) Copyright 2019 DTN/The Progressive Farmer. All rights reserved.