DTN Midday Grain Comments 01/24 11:17

DTN Midday Grain Comments 01/24 11:17 All Grains Higher at Midday Wheat is the midday leader with trade higher across the board. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed at midday with the Dow futures up 85 points. The interest rate products are higher. The dollar index is 80 lower. Energies are higher with crude up 0.60. Livestock trade is mixed led by hogs. Precious metals are higher with gold 16.00 higher. CORN Corn trade is 4 to 5 cents higher at midday with new highs for the move being scored with better demand and better commodity interest supporting trade with the dollar weakness. The weekly ethanol production numbers had production up 1,000 barrels per day, stocks were up 1.1 million barrels, to a new record, with ethanol futures edging slightly higher at midday. Basis is expected to remain mostly steady through midweek. Blizzard conditions will support livestock consumption but warmer weather is expected again on the backside of the system. The USDA announced 125,000 metric tons of corn sold to unknown. On the March chart support is the 50-day at $3.52, with the 20-day at $3.51 below that which we are back above at midday, with the $3.44 low as support below that, and resistance at the 100-day at $3.58. March futures have been in a 10 1/2 cent trading range for the past 6 weeks. SOYBEANS Soybean trade is 2 to 4 cents higher at midday with trade struggling to extend gains passed the upper end of the recent range, but wheat and corn appear to be giving beans mild support at midday. Meal is up $2 and soybean oil is up 20 points continuing the reversal of the recent trend. South American weather looks to continue the recent pattern with more improvement expected in the north later in the week, and a drier south. Basis and carry remains mostly sideways. The export wire has been quiet to start the week on soybeans, but the Philippines bought 132,000 metric tons of meal today. On the March, support is 50-day at $9.83, and the 200-day at $9.79 which we moved above overnight, with the 100-day at $9.87 above that which we are just above at midday. WHEAT Wheat trade is 4 to 10 cents higher with the weaker dollar and plains dryness bringing support back after the break yesterday. Warmer weather should be the rule in the near term, but moisture will likely remain short in the near term for much of the plains with some potential improvement in the second week. The dollar is near 89 on the index after finally breaking below 90 yesterday, this should continue to boost export competitiveness. On the March Kansas City contract, chart support is the lows at $4.10, with the weekly low of $4.21 becoming nearby support with the 10,20, and 50-day moving averages concentrated at $4.29, which we are just above at midday. 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 2018 DTN/The Progressive Farmer. All rights reserved.