11/05/08 Lower dollar gives commodities a boost

Market Line November 5, 2008 Grain futures pulled back near the close but wheat futures did close higher again Tuesday. Louise Gartner with the Linn Group at the Chicago Board of Trade says a sharply lower dollar helped. Gartner: "And of course that would certainly help as far as our export prospects. But we also saw crude oil sharply higher as well. That led to support in corn and beans and some of that spilled over to wheat. Commodities in general seeing a very solid day across most of the markets as we watched the dollar go into a steep correction and the equity markets finding some pretty good support throughout the day as well." A negative for wheat was news that Iraq purchased wheat from Australia and eastern Europe, bypassing the U.S. On Tuesday Chicago December wheat was up 10 ½ cents at 5-72 ½. December corn up a dime at 4-13. Portland soft white wheat unchanged to up 30 cents at mostly 5-03. Maximum 10.5 percent protein higher at 5-20. Club wheat 5-03 with maximum 10.5 protein at 5-60. HRW 11.5 % protein ten to 11 cents higher at 6-59. DNS 14% protein higher at 8-47. No Portland barley bids. Cattle futures had another up day Tuesday with a positive equity market, good wholesale beef demand and cash market optimism. Feeders followed and got support from the cash market. Dec live cattle up 52 cents at 93-85. Jan feeders up 112 at 100-30. Dec Class III milk down a dime at 14-15. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.