DTN Midday Grain Comments 08/28 11:51

DTN Midday Grain Comments 08/28 11:51 Grain Trade is Mixed at Midday Soybean trade is flat to higher, corn and wheat lower in slow midday action. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow futures down 25 points. The interest rate products are narrowly mixed. The dollar index is 45 lower. Energies are mixed with crude down 1.45. Livestock trade has cattle sharply higher, and hogs lower. Precious metals are higher with gold up $15.00. CORN Corn trade is 1 to 2 cents lower at midday after making another fresh low for the move. The trend remains lower to start the week with the numbers pointing to a yield at 167.1 BPA not doing anything to change the trend. Cold temperatures should have the market watching for some early northern frost risks, with maturity moving along close to normal, not ahead of normal. Ethanol margins will get a boost from unleaded gasoline spiking from refineries closed due to the hurricane. Ethanol futures have edged lower this morning to boost blender margins. The weekly crop progress report is expected to show normal to slightly below normal maturity with conditions steady. The weekly export inspections were good at 805,756 metric tons, and Mexico bought 160,020 metric tons on the daily wire. On the December chart support is the new low at $3.50 1/2. Resistance is at the 10-day moving average at $3.60. SOYBEANS Soybean trade is 1 to 3 cents higher at midday with two sided trade so far with demand expected to remain strong taking on seasonal pressure. Meal is flat to $1 higher, and oil is flat to 10 points higher. Recent numbers pegged bean yield at 48.5 BPA, vs. 49.4 on the last USDA report. Some of the colder weather is not viewed as the best thing for beans and there is always a frost risk when lows get down in the 30s, with trade watching forecasts closely in the near term. Heavy rains from Hurricane Harvey made add some complications in the south. The weekly crop progress is expected to show steady conditions, and maturity near average. The weekly export inspections were good at 716,171 metric tons. On the November chart support is the 10-day at $9.36 with the recent low below that at $9.21, with the 20-day at $9.48 as resistance. WHEAT Wheat trade is 4 to 8 cents lower at midday with trade making new lows after the reversal from last week failed to hold. The Russian harvest continues to make good progress with production estimates still working higher but they should be on the homestretch. Trade is oversold, which should translate into bigger short profit taking at some point ahead of winter wheat planting, but funds continue to be get rewarded for fresh shorts. Canadian production estimates will be out this week. The weekly crop progress report is expected show spring wheat harvest past 70% complete. Weekly export inspections were decent at 670,748 metric tons. On the December Kansas City contract support is the $4.22 3/4 fresh low printed Wednesday with resistance at the 10-day at $4.36. 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.