10/17/08 Looking for a bounce

Market Line October 17, 2008 Wheat futures were slightly lower Thursday in light trading with some new contract lows set. However, Louise Gartner for the Linn Group at the Chicago Board of Trade says wheat closed well above the day's lows and is very oversold. Gartner: "We've have reached downside targets. The market clearly washing out what it needs to do on the downside and there too, looking for a bounce to the upside, but long term trends are down." Traders get the weekly export sales report from USDA today. It was delayed this week because of the government holiday Monday. The Argentine government is now forecasting a wheat crop of 9.5 to 11 million tons which compares to USDA's last estimate of 12 million. Last year Argentina produced 16 million tons. On Thursday Chicago December wheat was down a half cent at 5-55 ¼. December corn down 3 ½ at 3-84 ½. Portland soft white wheat 20-25 cents lower at 5-15. Premiums for maximum 10.5 percent protein. Club wheat 5-55. HRW 11.5 % protein down two cents at 6-33. DNS 14% protein mixed at mostly 7-82. No Portland barley bids. USDA issues its monthly Cattle on Feed report this afternoon. Yesterday cattle futures were mixed in choppy trading. Fundamentals are bearish for live cattle. Short covering helped feeder contracts. Dec live cattle unchanged at 90-82. Nov feeders up 90 cents at 96-72. Nov Class III milk up a penny at 15-96. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.