DTN Midday Grain Comments 08/24 11:27

DTN Midday Grain Comments 08/24 11:27 Grains Mixed at Midday Corn and soybeans are firmer at midday while wheat is on its lows. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are mixed with the Dow futures up 135. The interest rate products are mixed. The dollar index is 50 lower. Energies are firmer with crude up 1.30. Livestock trade is mixed. Precious metals are firmer with gold up $18.80. CORN Corn trade is 2 cents higher with trade trying to find some recovery going into the weekend after the down week. This is also just ahead of September option expiration; looks like there may be market forces attracted to the $3.50 strike. Ethanol futures continue to track lower touching with nearby contracts dropping around $1.30. This is keeping blender margins pretty stout, but not great for producers. Corn basis will likely continue to fade even with board weakness with more harvest activity building into the coming week with some stability showing up this week with nearby demand remaining solid. The crop tour has shown strong yields as expected as it wraps up. The good growing weather continues to have private and USDA crop ideas flat to higher. On the December chart futures have support at the recent low at $3.60 1/2 scored yesterday and today, then the $3.50 1/4 contract low printed in July. Resistance is at the 10-day at $3.72. SOYBEANS Soybean trade is 3 to 5 cents higher at midday with trade seeing some light buying with little fresh news on the trade front along with the end of the crop tour. Meal is narrowly mixed and oil is 35 to 45 points higher. Basis remains wide but has slowed the rate of erosion so far this week with concerns still building for fall. Pod counts have been very strong on the tour. We have seen some improvement in nearby exports and early new-crop bookings, with the program still light for the fall off the PNW which is the biggest concerns going into fall. The USDA did announce 145,000 metric tons of soybeans sold to unknown today. The specifics of the trade aid to farmers appears to be closer to being announced with the soybeans the focal point of the program with details expected on Monday. On the November chart support is the lower Bollinger Band at $8.51 with resistance the 50-day at 8.82. WHEAT Wheat trade is 4 to 8 cents lower with trade scraping along the lower end of the range ahead of option expiration. Spring wheat harvest should continue to move along at a good clip with varied yields so far and heading quickly for the home stretch with over 3/4 likely complete at this point. The US dollar has turned sharply lower through midweek. Matif wheat has turned lower again this morning. Australia remains on the dry side with the crop pace ahead of normal as some showers move through in the near term. On the December Kansas City chart, we have support at the 50-day at 5.47, with resistance the 100-day at 5.60. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered adviser. He can be reached at [email protected] Follow him on Twitter @davidfiala (BAS) Copyright 2018 DTN/The Progressive Farmer. All rights reserved.