DTN Midday Grain Comments 08/28 11:31

DTN Midday Grain Comments 08/28 11:31 Soybeans Higher; Corn, Wheat Lower at Midday Soybeans are higher at midday, while corn and wheat are lower in slow trade. By David Fiala DTN Contributing Analyst General Comments The U.S. stock markets are lower with the Dow futures down 50 points. The interest rate products are mixed. The dollar index is 61 points higher. Energies are higher with crude up $2.60. Livestock trade is mostly higher. Precious metals are higher with gold up $9. CORN Corn trade is fractionally to a penny lower at midday, giving back some early session gains with the stronger dollar weighing down trade. No major weather issues are out there at this juncture with more corn being combined in some of the Southern growing areas with variable yields so far. Warmer weather is expected the first week of September, which will help the crop move toward maturity. Crude futures have bounced back over $45, boosting ethanol blender margins with ethanol futures moving slightly higher, while unleaded is up solidly the past two days. On the December chart, support is at the early week low at $3.65, and then the contract term low at $3.57. Resistance is at the $3.79 20-day moving average, which we are just below, and closing above $3.77 1/4 will be needed for a weekly gain. The next levels of resistance are the $3.86 weekly high, then the $3.94 100-day moving average. SOYBEANS Soybean trade is 1 to 4 cents higher in quiet trade at midday with commercial demand continuing to support action. Meal is $2 to $3 lower, and oil is 60 to 70 points higher. Trade will continue to watch weather to determine how the crop will finish out, especially in the eastern belt with some rains moving through the western areas overnight. If the concerns over forward Chinese demand can cool off, it may help stop the downtrend with significant sales to unknown destinations this week. On the November soybean chart, our new contract low this week at $8.55 is support with resistance at $8.88, the 10-day moving average and contract low from last week. WHEAT Wheat trade is 3 to 6 cents lower across the three contracts at midday with new lows being made on the KC contract with demand concerns and the stronger dollar limiting support. The new contract lows are only a few cents lower than the prior low. The wheat export market has been quiet in recent days with the U.S. still at a competitive disadvantage to other origins of wheat. Chart resistance for the September KC contract is at the $4.72 the 10-day moving average. Support is at the $4.59 1/4 fresh contract low reached Monday. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered trading adviser. David Fiala can be reached at [email protected] Follow David Fiala on Twitter @davidfiala (BAS) Copyright 2015 DTN/The Progressive Farmer. All rights reserved.