06/05/08 Winter wheat futures up; spring down

Market Line June 5, 2008 Wheat futures closed slightly higher at Chicago and Kansas City Wednesday, lower in Minneapolis. Lynn Smith of the Zaner Group says there was selling of July and buying of December at Minneapolis. Chicago wheat was helped by higher corn and beans though Smith says the fundamentals remain bearish. As for hard red winter contracts at Kansas City. Smith: "High temperatures will stress parts of southeast Colorado, southwest Kansas and west Texas but harvest conditions will generally be favorable for the balance of the winter wheat crop in the southern plains area." Northwest farmers won't have to worry for a while about USDA releases of soft white wheat from the Emerson Trust depressing prices. The USDA says recent sales have emptied the trust. On Wednesday Chicago July wheat was up 2 ½ cents at 7-53. July corn up 6 ½ at 6-14 ½. Portland August new crop soft white wheat unchanged to up 32 cents at 7-45 to 7-50. August HRW 11.5 % protein up a penny at 8-79. August DNS 14% protein down a nickel at 9-75. Barley at the coast 208 dollars a ton for July. DTN's John Harrington says if the U.S. has to concede to the 30 month rule on beef for South Korea it could be a psychological blow to the market. Meanwhile, live cattle were mixed Wednesday with feeder contracts lower. There were already fed cattle sales this week coming in below last week. Higher corn was a negative for feeders. August live cattle up 25 cents at 100-dollars fifty cents. August feeders down a nickel at 113-72. July Class III milk up a nickel at 20-55. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.