Wheat Suffers Sharp Losses

Wheat Suffers Sharp Losses

I'm KayDee Gilkey with the Market Line Report for June 4, 2012.

An active harvest period just ahead for winter wheat helped to pressure the market on Friday. The surge in the US dollar has also curtailed buying interest for US wheat, and wheat's premium to corn has caused demand for wheat as a feed grain to diminish.

From the floor of the CME Group, Virginia McGathey with McGathey Commodities shares her observations of Friday’s markets.

McGathey: “Now in the wheat contract it is almost down almost a $1 from its high. And a month ago we’re back to where we are today. So the market rallied about $1.20 and now we are right back were we were. That puts a lot of volatility in the market. I think we are going to be off to the races as far as volatility goes for the rest of the weekend.”

Chicago July Wheat ended Friday down 31 and 1/2 cents at 6-12 and 1/4. July corn ended the day down 3 and 3/4 cents at 5-51 and 1/2.

Portland prices for soft white wheat and club wheat ranged from down 10 to 20 cents at mostly 6-73. Hard Red Winter Wheat with 11.5 pct protein prices at mostly 7-20 with no price comparisons for June delivery. DNS wheat with 14 pct protein prices were at mostly 8-82 with no price comparisons for June delivery.

August live cattle ended up 70 cents at 119-60. August Feeder cattle were up 58 cents at 157-38. July class III milk was down 40 cents at 15-93.

I'm KayDee Gilkey with the Market Line Report on the Northwest Ag Information Network.