DTN Midday Grain Comments 08/17 11:36

DTN Midday Grain Comments 08/17 11:36 All Grains Higher at Midday Corn is 4 to 5 cents higher, soybeans are 14 to 16 cents higher, and wheat is 10 to 16 cents higher. David Fiala,DTN Contributing Analyst MARKET SUMMARY: The U.S. stock market is mixed with the Dow down 40 points. The dollar index is 25 points lower. Interest rate products are firmer. Energies are higher with crude up 0.50. Livestock trade is firmer. Precious metals are firmer with gold up $44. CORN: Corn trade is 4 to 5 cents higher at midday with broad buying as we anticipate the condition reports for Iowa Monday afternoon, along with the start of the yearly crop tour. Ethanol margins are seeing some pressure from the corn rally but are stable overall with the slow recovery in driving demand continuing. Basis has remained fairly flat in recent days, with pressure likely at locations with a strong crop coming soon. Weekly export inspections remain solid at 1.037 million metric tons, with crop conditions down 2%-3% nationally with maturity remaining ahead of normal. On the September contract, trade has support at the 20-day at $3.18, which we moved above Friday with the upper Bollinger Band at $3.32 the next round up. SOYBEANS: Soybeans trade is 14 to 16 cents higher at midday with broad buying as export demand overshadows crop progress to start the week, with action just below the recent highs. Meal is $4.50 to $5.50 higher and oil is 25 to 35 points higher. The real remains in the tighter recent range vs. the dollar with trade looking for more bookings to hit the daily wire with nothing showing up Monday. Weather looks to continue to be good for most into pod fill with one more rain needed for many. Soybean basis has found spots of support at crushers as well. Weekly export inspections were in line with recent weeks at 785,075 metric tons with crop progress expected to show steady to slightly lower conditions, and above-average crop progress. The September chart now has resistance at the $9.09 upper Bollinger Band, which we are above at midday with support the 20-day at $8.87. WHEAT: Wheat trade is 10 to 16 cents higher at midday with broad buying following the lead of the row crops and accelerating during the midday with intramonth spreads returning to steady after early strength. The USDA announced 130,000 metric tons old to unknown. The ruble is holding vs. the dollar as well with more Middle East tenders being scheduled into fall with Black Sea origin still firmly in control. KC is at a 78-cent discount to Chicago with spreads widening back from the narrowest action in a month, while Minneapolis is back to a 7-cent discount. Weekly export inspections were soft at 461,699 metric tons. Weekly crop progress should show winter wheat harvest nearly complete, with spring wheat conditions steady with harvest nearing one-third complete. KC September chart support is the fresh low at $4.09 3/4, with the 20-day back above the market as nearby resistance at $4.31, which we are above at midday. 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 (c) Copyright 2020 DTN, LLC. All rights reserved.