DTN Midday Grain Comments 08/31 11:34

DTN Midday Grain Comments 08/31 11:34 All Grain Higher at Midday Trade is higher across the board as the harvest months become the front month. By David Fiala DTN Contributing Analyst General Comments The U.S. stock market indices are weaker with the Dow futures down 35. The interest rate products are weaker. The dollar index is 35 higher. Energies are mixed with crude down 0.30. Livestock trade is mixed with hogs leading. Precious metals are mixed with gold up 2.30. CORN Corn trade is 5 to 6 cents higher at midday with trade finding some buying with the December trade becoming the front month. Short profit taking ahead of month-end is noted. Early harvest should continue to expand this week with rains more focused on the north and overall warm temps. Ethanol futures have firmed back to $1.28 as margins continue to narrow as summer driving season wraps up with blender margins at nearly a dollar as well. Corn basis has held up pretty well in recent days but more harvest pressure will work in. The daily wire had exports sales of 273,800 metric tons to unknown. On the December chart futures have support at the recent low at $3.55 1/4 scored Wednesday, then the $3.50 1/4 contract low printed in July. Resistance is at the 10-day at $3.63 which we have tested this morning. SOYBEANS Soybean trade is 6 to 8 cents higher at midday with firming off lower end of the range with the November contract becoming the front month. Meal is 0.50 to $1.50 higher, and oil is 5 to 15 points lower. Basis is expected to see more pressure, especially along areas that feed the PNW with the Ohio River valley widening quickly with early harvest just around the corner. Heavy rains could be an issue in some areas in the near term especially in the northern part of the belt. The daily wire had sales of 250,000 metric tons to unknown. On the November chart support is the low at $8.29, and resistance the 10-day at 8.54. WHEAT Wheat trade is 5 to 9 cents higher at midday with buying as export restrictions stay in focus from Russia, along with the StatsCanada report coming in solidly below the USDA numbers. Spring wheat should being effectively wrapped up in the U.S. soon harvest wise. The U.S. dollar is holding in the lower end of the recent range with some positive action today. Matif wheat is higher as well. Russian domestic values are still rising which will be a pressure point for exports with renewed talk off a 25 Million metric ton cap but no official word yet with meetings rumored for Monday. On the December Kansas City chart we have support at the recent lows at $5.26 with resistance the 50-day at $5.47 that we worked back above this morning, and are right at midday. 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.