DTN Midday Grain Comments 12/06 10:51

DTN Midday Grain Comments 12/06 10:51 Corn Futures Higher at Midday; Soybeans, Wheat Flat-Lower Corn futures are 3 to 4 cents higher at midday Friday; soybean futures are flat to a penny lower; wheat futures are flat to 2 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 3 to 4 cents higher at midday Friday; soybean futures are flat to a penny lower; wheat futures are flat to 2 cents lower. The U.S. stock market is mixed at midday with the S&P 15 higher. The U.S. Dollar Index is 25 points higher. The interest rate products are mostly higher. Energy trade is weaker with crude down .90 with natural gas unchanged. Livestock trade is mostly higher with cattle leading. Precious metals are firmer with gold up 14.00. CORN: Corn futures are 3 to 4 cents higher at midday with firmer spread action continuing and the March contract pressing through nearby resistance. Ethanol margins are narrowing a bit with corn firming and unleaded staying at the lower end of the range with demand likely to stay soft until we get closer to Christmas travel. Fall fertilizer and tillage should move along in much of the Corn Belt with warmer weather into the weekend. Basis action has been mixed in the short term with most strength on the river system. On the March chart, the 20-day moving average at $4.35 is resistance, which we are just above at midday, with the Lower Bollinger Band at $4.25 as support. SOYBEANS: Soybean futures are flat to a penny lower at midday with two-sided action as oil looks to lead the product complex higher while meal tests contract lows again limiting upside. Meal is 4.50 to 5.50 lower and oil is 100 to 110 points higher. South America looks to see the recent pattern continue with Brazil still the drier area in the short term but concerns remain limited. Basis is expected to remain flat to firmer in the short term. On the January chart, trade has resistance at the 20-day moving average at $9.97 , which we faded from Friday morning with the Lower Bollinger Band at $9.66 as support. WHEAT: Wheat futures are flat to 2 cents lower at midday with trade working to consolidate the midweek gains into the weekend with KC action just below nearby resistance. The Plains are expected to be a bit warmer and drier in the short term with the second week looking wetter. Black Sea conditions have declined a bit into dormancy which is adding some support. MATIF wheat has been narrowly mixed, consolidating the recent gains, with the dollar seeing mixed action after the jobs report as it stays off the upper end of the range. On the KC March chart, support is the recent low at $5.34 and resistance the 20-day moving average at $5.57. David Fiala can be reached at dfiala@futuresone.com Follow him on social platform X @davidfiala (c) Copyright 2024 DTN, LLC. All rights reserved.