DTN Midday Grain Comments 12/23 10:54

DTN Midday Grain Comments 12/23 10:54 Corn, Soybeans Higher; Wheat Narrowly Mixed at Midday Corn is a penny higher, soybeans are 4 to 6 cents higher, and wheat is narrowly mixed. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market is firmer with the Dow up 120. The dollar index is 3 points higher. Interest rate products are mostly firmer. Energies are mixed with crude up 10 cents. Livestock trade is weaker. Precious metals are firmer with gold up $5. CORN Corn trade is a penny higher in quiet midday trade as low-volume holiday action will continue, with a full trading day today and a close at noon Tuesday. Ethanol futures have continued to chop along the recent range, keeping margins stable with greater usage expected this week with Christmas travel. Warmer weather should help remaining harvest progress, but some moisture looks to return later in the forecast. Basis should stay firm with limited holiday movement. Weekly export inspections were soft at 387,188 metric tons. On the March contract, support is at the 20-day moving average at $3.81, with major support at the $3.71 three-month low. Chart resistance is at the 100-day moving average at $3.90, upper Bollinger band at $3.91, then the 200-day at $4.07. SOYBEANS Soybeans trade is 4 to 6 cents higher at midday, testing the recent highs again this morning with trade optimism and export sales hitting the daily wire with another 126,000 metric tons sold to China. Meal is $3.50 to $4.50 higher, and oil is flat to 10 points lower. South American weather and forecasts will continue to be watched day to day, with a mixed short-term forecast but no major concerns overall, while Argentina continues to raise export taxes. Weekly export inspections were a bit softer at 1.083 million metric tons. The January chart support is at the 50-day at $9.18 with resistance at the $9.40 upper Bollinger Band, then the 9.59 1/2 nine-month high. WHEAT Wheat trade is narrowly mixed at midday with trade finding light buying again as we continue to consolidate higher. The forecast has some moisture for Kansas along with warmer temps in the short term. Wheat needs a pattern of friendly demand news to keep the higher trends on the chart in force after the strong sales last week. Spread action is flat overnight with KC holding at an 81-cent discount to Chicago, while Minneapolis is at 3 cents. Weekly export inspections were OK at 578,458 metric tons. The March KC chart support is at the $4.60 200-day moving average, which we held after testing, then the $4.48 20-day moving average. Resistance is at the $4.68 five-month high, then the Upper Bollinger band at $4.70. 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 (AG) Copyright 2019 DTN/The Progressive Farmer. All rights reserved.