07/29/08 Lower wheat and corn futures

Market Line July 29, 2008 Wheat started the week lower Monday. Corn-wheat and soybean-wheat spreading was cited as a factor pushing wheat down. Scattered rainfall over the weekend in Western Australia was also negative but things are drying out again in eastern Australia. Dryness persists in Argentina as well. The weekly export inspections were in line with trade expectations at just under 22 million bushels. Peter Georgantones of Investment Trading Services in Bloomington, Minnesota doesn't seem too bullish on wheat. Georgantones: "I don't think we are going to have a huge demand base here this year. We have good crops all around the world. Ending stocks are improving world wide. I can't foresee it right now but unless there is a supply disruption of any significance this year, I know the market is not very long and that is probably the reason we have rallied the last 50-60 cents because there haven't been many longs to flush out over the last few weeks." On Monday Chicago September wheat was down 13 ¼ cents at 7-97 ¾. September corn up 4 ¾ at 5-82. Portland August soft white wheat unchanged to up a dime at 8-10 to 8-20. August HRW 11.5 % protein down seven cents at $9. August DNS 14% protein ten to 15 cents lower at 9-56. Barley at the coast 223 dollars a ton. Cattle futures were lower Monday with bearish fundamentals and the lower than expected marketings in USDA's Cattle on Feed report Friday. Oct live cattle down 30 cents at 104-80. Oct feeders down 77 at 112-50. Sept Class III milk down 17 cents at 19-35. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.