12/05/08 Portland soft white under $5

Market Line December 5, 2008 Wheat futures were sharply lower Thursday and Portland cash markets fell too with soft white wheat under five dollars a bushel. Nelson Byrd with the Linn Group at the Chicago Board of Trade says deflationary fears were showing in the markets. Byrd: "Abysmal economic news is still the driving force here and grains simply cannot divorce themselves from so much adversity." There was bearish fundamental news too, as Stats Canada pegged Canada's wheat crop 1 ½ million tons above average trade estimates. The weekly export sales report showed the lowest sales of the marketing year at just under 208-thousand metric tons. However, a new sale of 30-thousand metric tons of soft red winter wheat to China was reported. On Thursday Chicago March wheat was down 33 ¾ cents at 4-86. March corn down 14 ¼ at 3-34. Portland soft white wheat any protein 15 to 25 cents lower at mostly 4-90. Maximum 10.5 percent protein lower at 5-05. Club wheat 5-90. Maximum 10.5 club wheat 6-05. HRW 11.5 % protein as much as 29 cents lower at 5-53. DNS 14% protein 17 to 27 cents lower at 7-50. No Portland barley bids. Cattle futures were lower again Thursday. Lower cash cattle, lower boxed beef and continued liquidation by commodity funds were cited. Brokers say it will take sustained bullish news to turn the market around. Feb live cattle down a dollar at 83-07. Jan feeders down 25 cents at 88-10. Jan Class III milk down six cents at 14-17. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.