DTN Midday Grain Comments 10/08 12:09

DTN Midday Grain Comments 10/08 12:09 Corn, Beans Higher at Midday Corn is 1 to 2 cents higher, soybeans are 3 to 5 cents higher, and wheat is 9 to 15 cents lower. David M. Fiala DTN Contributing Analyst The U.S. stock market is firmer with the Dow up 20 points. The dollar index is 5 points higher. Interest rate products are firmer. Energies are firmer with crude up $0.80. Livestock trade is mixed with hogs leading. Precious metals are firmer with gold up $2. CORN Corn trade is 1 to 2 cents higher at midday with spread trade continuing to firm, with trade back to fresh highs before starting to fade during the day session. Ethanol margins have found support from the rebound in the energy complex. Basis should see pressure this week with more bushels coming in to town but have held up well so far this month. Weekly export sales were good at 1.23 million metric tons. On the December contract, resistance is the fresh high at $3.93 1/4 with support the 20-day at $3.72 3/4. Soybeans Soybean trade is 3 to 5 cents higher with fresh highs being scored overnight with more export sales hitting the wire, but trade has been softer during the day session amid overbought conditions and open harvest weather. Meal is $1.50 to $2.50 higher with oil 30 to 40 points higher. Sales were 374,000 metric tons to China, 154,400 to Mexico, and 132,000 to unknown. The real remains in the lower end of the range ahead of South American planting with farmers waiting for seasonal rains with Argentina working to encourage sales while Brazilian farmers have heavily sold ahead with acres expected to increase and rains starting to enter the extended forecast with CONAB forecasting a record crop to start. Basis remains strong as we continue to work to max out our logistics capacity to ship the needed export bushels. Weekly export sales were strong at 2.59 million metric tons, with meal at 277,200 metric tons, and 800 of oil in softer production sales. The November chart has resistance at the fresh high at 10.65 1/2 with support the 20-day at 10.18. WHEAT Wheat trade is 9 to 13 cents lower with trade reversing from fresh overnight highs amid overbought conditions and little fresh news. The is settling into a range with the export competitiveness little changed. Kansas City is at a 65-cent discount to Chicago with spreads reversing off of a fresh low for the move yesterday, while Minneapolis is back to 57 cent discount with firmer action. Weekly export sales remained range bound at 530,600 metric tons. Kansas City December chart resistance is the fresh high at $5.52 3/4, and support is the old high at $5.15. 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.