DTN Midday Grain Comments 10/30 11:40

DTN Midday Grain Comments 10/30 11:40 Soybeans Leading Grains 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 mostly lower this morning with the Dow down 55 points. The interest rate products are firmer. The dollar index is 25 lower. Energies are mixed with crude unchanged. Livestock trade is higher, led by cattle. Precious metals are mixed with gold up $2.90. CORN Corn trade is flat to 1 cent lower with early gains fading to sideways lower trade during the day session. Ethanol margins are stable to start the week, with blender margins continuing to show the most strength with ethanol futures higher at midday. Harvest progress should continue with the west remaining the most open, with the east still slowed by lingering wetness issues. The weekly crop progress report should show harvest past the 55% mark, but still well behind normal. The weekly export inspections were disappointing at 515,679 metric tons. On the December chart support is at the $3.42 1/2 low with resistance at the $3.52 50-day moving average then the $3.58 6-week high. SOYBEANS Soybean trade is 1 to 4 cents lower with early 6 cent gains overnight evaporating during the day session with harvest pressure continuing. Meal is narrowly mixed and oil is 10 to 20 points lower. South American weather looks wetter for much of Brazil near term, with parts of Argentina starting to dry out after a wet start. Soybean basis has remained mostly steady with carry steady, with harvest pressure starting to fade. The weekly progress report should show harvest progress past 85%. Weekly export inspections remained strong at 2.505 million metric tons. The daily export wire will be watched closely again this week after only one sale announced last week and nothing this morning despite the overnight futures action. On the January chart, the 200-day at $9.82 is support and resistance at the 10-day at $9.90, which we are testing overnight. WHEAT Wheat trade is mixed at midday with spring wheat leading at midday, while the winter wheats remain at the lower end of the range. The dollar has pulled back from the 95 area on the index, but remains at the upper end of the recent range. US exports have been slowed lately as Black Sea origin continues to dominate world movement in the near term, with the dollar hurting U.S. competitiveness. The Southern Hemisphere crop will continued to be watched with drier weather replacing floods in South America, but Brazil is looking to be an importer again. Planting progress should be in line with average this afternoon, with emergence slightly behind normal, and if a condition report is issued, generally good conditions so far. Export inspections remain disappointing at 315,317 metric tons. On the December Kansas City support is at the $4.20 low with resistance the 50-day at $4.38. 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.