11/13/08 Credit problems and the international grain trade

Market Line November 13, 2008 There was pressure on row crops yesterday from lower crude oil and a sharply lower stock market but wheat futures managed to close higher. Louise Gartner for the Linn Group at the Chicago Board of Trade thinks we've seen wheat carve out a trading range now that it will chop around in over the next few months. Gartner also says credit problems are stalling sales out of the Black Sea region. Gartner: "At the same time we are hearing just as many stories about, in particular, third world countries having trouble lining up financing for imports. So we are seeing the tender line up drop as well. All these financial problems certainly taking their toll on all the markets including the wheat market as well." On Wednesday Chicago December wheat was up 9 ¾ cents at 5-33. December corn down 4 ¾ at 3-69 ½. Some country selling of soft white wheat was reported Wednesday and Portland soft white wheat any protein was quoted higher than maximum 10.5 percent protein higher at 5-28 versus 5-23. Club wheat 5-48 with 10.5 maximum protein 5-63. HRW 11.5 % protein up seven cents at 6-25. DNS 14% protein 11-16 cents higher at 8-34. No Portland barley bids. Big losses on Wall Street led to triple digit losses in cattle futures Wednesday. Fundamentally, choice boxed beef continued to move higher gaining over two dollars. Dec live cattle down 107 at 90-52. Jan feeders down 97 at 96-22. Dec Class III milk down six cents at 14-45. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.