DTN Midday Grain Comments 10/16 11:47

DTN Midday Grain Comments 10/16 11:47 Grains Trending Lower at Midday Trade is lightly lower across the board at midday. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market is higher this morning with the Dow up 45 points. The interest rate products are higher. The dollar index is 8 higher. Energies are higher with crude up $0.70. Livestock trade is mostly higher. Precious metals are higher with gold up $1.00. CORN Corn trade is 2 cents lower at midday with trade working above $3.50 with harvest expected to expand this week as things dry out. Ethanol margins are stable with the seasonal usage expected to work lower. Weekly crop progress is expected to show maturity and harvest lagging with export inspections disappointing at 322,672 metric tons. Basis should see harvest pressure, while carry remains at wide levels. On the December chart support is at the 20-day at $3.50 with the contract low at $3.42 below that, with resistance the 50-day at $3.57. SOYBEANS Soybean trade is 3 to 7 cents lower at midday with trade pulling back from the $10.00 area as harvest expands. Meal is $2.50 to $3.50 lower and oil is narrowly mixed. South American weather forecasts remains mixed with drier weather expected for Argentina to allow planting to progress while northern Brazil remains excessively dry for the early part of the growing season with the second week pattern looking to invert that. Weekly crop progress is expected to keep progress just behind normal, and export inspections were strong at 1.77 million metric tons. On the November chart, trade is above all the major moving averages, with the 200-day at $9.75 first support, with resistance the recent high at $10.03. WHEAT Wheat trade is flat to 2 cents lower at midday with trade trying to hold onto the strong finish from last week. The dollar is treading water around 93 on the index. U.S. exports have been slowed lately as Black Sea origin continue to dominate. Australia will see more focus coming forward as well as the growing season progresses with some flood damage concerns in South America. The weekly crop progress is expected to show planting progress and emergence behind normal, with export inspections remaining soft at 322,860 metric tons. On the December Kansas City support is the the 10-day at $4.33 with resistance at the 20-day at $4.42. 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.