DTN Midday Grain Comments 10/30 11:00

DTN Midday Grain Comments 10/30 11:00 Grains Mixed at Midday Corn is flat to 2 cents lower, soybeans are 1 to 2 cents higher, and wheat is 3 to 6 cents lower. David M. Fiala DTN Contributing Analyst The U.S. stock market is weaker with the Dow down 420. The dollar index is 8 points lower. Interest rate products are lower. Energies are weaker with crude down $0.70. Livestock trade is mostly higher. Precious metals are mixed with gold up $13.00. CORN Corn trade is mixed with December flat to 2 cents lower as spread trade weakness heading towards the weekend. Ethanol margins remain stable with corn and energies fading this week with blender margins losing ground as unleaded approaches $1.00 on the board. Basis has seen some weakness as barge freight rallies. On the December contract resistance is the fresh high at $4.21 3/4 with support the 20-day at $4.00 which we are just below at midday. SOYBEANS Soybean trade is 1 to 2 cents higher at midday with weaker spread action as the November contract goes into delivery with the export wire quieter this week with 121,500 metric tons announced to unknown this a.m. Meal is flat to $1.00 lower and oil is 10 to 20 points higher. Brazil should continue to make planting progress with the better rains short term for most, while Argentina has seen a little more mixed weather and continued slow farmer movement. Basis remains strong as we continue to work to max out our logistics capacity to ship the needed export bushels. The January chart has resistance at the fresh high at 10.88 1/2 with support the 20-day at 10.57 which we are back below at midday. WHEAT Wheat trade is 2 to 7 cents lower with trade chopping around support levels and KC action leading so far with early strength fading. The near term weather pattern looks to warm up for the plains to support growth with moisture still short in many areas. The ruble action continues to favor Russia a bit in the export markets but their domestic prices are now elevated but with improved short term weather, along with Australia harvest expanding. Middle East buyers are becoming more active with tenders as well. KC is at a 61-cent discount to Chicago with spreads headed back to the lower end of the range, while Minneapolis is back to 51 cent discount with very active spread action on going. KC December chart resistance is the fresh high at $5.79 1/2, and support is the 20-day at $5.47 which we are now solidly below, then the lower Bollinger band at $5.18. 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.