DTN Midday Grain Comments 08/02 11:40

DTN Midday Grain Comments 08/02 11:40 Corn, Soybeans Higher; Wheat Mixed at Midday Row crops are mildly higher at midday, while wheat is mixed. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow futures up 45 points. The interest rate products are mixed. The dollar index is 25 points lower. Energies are mixed with crude up $0.25. Livestock trade is mixed with hogs leading. Precious metals are mixed with gold down $1.30. CORN Corn trade is 3 cents higher at midday with trade finding some light buying overnight with the forecast remaining cooler than normal and mixed on rain for key areas. The weekly ethanol report showed production down 0.99%, and stocks down 3.14%, and gasoline demand 0.21% higher. Corn basis remains soft with plenty of old-crop stocks still around with spread trade remaining soft. The cooler temps will bring fall maturity concerns if they stick around for a longer period of time. A private forecaster was out with a 162.8 bushel per acre yield estimate for this fall. On the December chart, support is at the fresh low at $3.76 with resistance at the 200-day at $3.89. SOYBEANS Soybean trade is 2 to 4 cents higher at midday with light buying after the early week washout with trade focusing more on August weather along with better crush data and concern about canceled exports to China. Meal is $1 to $2 higher and oil is 25 to 35 points higher. Cooler temperatures will limit stress in the week ahead with the rains in the extended forecast needing to materialize, especially for Iowa. Basis is expected to remain mostly steady in the near term. Private yields guesses started at 47.7 bpa. On the November chart, support is the 50-day at $9.64, with the 200-day at $9.86 now resistance. WHEAT Wheat trade is narrowly mixed with trade still trying to find better footing after early strength continues the pattern of failing once we get to the day session. Spring wheat harvest should continue to expand in coming days, but harvest pressure will be limited with the poor crop. The dollar remains near year lows, but the U.S. will continue to struggle for near-term business with ample world supplies with business so far this week going to European/Black Sea origin. Trade continues to add carry in the spring wheat, with winter wheat trying to narrowly slightly. On the December KC contract support is the 200-day at $4.93, which we are just below at midday. Resistance is at the 10-day at $5.07 then 50-day moving average at $5.13. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered Advisor. He can be reached at [email protected] Follow him on Twitter @davidfiala (BAS) Copyright 2017 DTN/The Progressive Farmer. All rights reserved.