DTN Midday Grain Comments     12/06 10:51

   Corn Futures Higher at Midday; Soybeans, Wheat Flat-Lower

   Corn futures are 3 to 4 cents higher at midday Friday; soybean futures are 
flat to a penny lower; wheat futures are flat to 2 cents lower.

David M. Fiala
DTN Contributing Analyst

MARKET SUMMARY:

   Corn futures are 3 to 4 cents higher at midday Friday; soybean futures are 
flat to a penny lower; wheat futures are flat to 2 cents lower. The U.S. stock 
market is mixed at midday with the S&P 15 higher. The U.S. Dollar Index is 25 
points higher. The interest rate products are mostly higher. Energy trade is 
weaker with crude down .90 with natural gas unchanged. Livestock trade is 
mostly higher with cattle leading. Precious metals are firmer with gold up 
14.00.

CORN:

   Corn futures are 3 to 4 cents higher at midday with firmer spread action 
continuing and the March contract pressing through nearby resistance. Ethanol 
margins are narrowing a bit with corn firming and unleaded staying at the lower 
end of the range with demand likely to stay soft until we get closer to 
Christmas travel. Fall fertilizer and tillage should move along in much of the 
Corn Belt with warmer weather into the weekend. Basis action has been mixed in 
the short term with most strength on the river system. On the March chart, the 
20-day moving average at $4.35 is resistance, which we are just above at 
midday, with the Lower Bollinger Band at $4.25 as support.

SOYBEANS:

   Soybean futures are flat to a penny lower at midday with two-sided action as 
oil looks to lead the product complex higher while meal tests contract lows 
again limiting upside. Meal is 4.50 to 5.50 lower and oil is 100 to 110 points 
higher. South America looks to see the recent pattern continue with Brazil 
still the drier area in the short term but concerns remain limited. Basis is 
expected to remain flat to firmer in the short term. On the January chart, 
trade has resistance at the 20-day moving average at $9.97 , which we faded 
from Friday morning with the Lower Bollinger Band at $9.66 as support.

WHEAT:

   Wheat futures are flat to 2 cents lower at midday with trade working to 
consolidate the midweek gains into the weekend with KC action just below nearby 
resistance. The Plains are expected to be a bit warmer and drier in the short 
term with the second week looking wetter. Black Sea conditions have declined a 
bit into dormancy which is adding some support. MATIF wheat has been narrowly 
mixed, consolidating the recent gains, with the dollar seeing mixed action 
after the jobs report as it stays off the upper end of the range. On the KC 
March chart, support is the recent low at $5.34 and resistance the 20-day 
moving average at $5.57.

   David Fiala can be reached at dfiala@futuresone.com

   Follow him on social platform X @davidfiala

    

    




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