Grain markets turn south on USDA numbers

Grain Markets Turn South on USDA Numbers. I’m Greg Martin. This is Market Line

Market Line February 27, 2009

U.S. Department of Agriculture Secretary Tom Vilsack said Thursday that a harsh economic climate and a massive budget deficit are forcing President Barack Obama’s administration to be more selective in spending, and nutrition and food assistance

programs are priorities. Meanwhile, the White House is proposing to cut subsidies for some of the largest farming operations.

Wheat exports were a bit of a surprise according to Louise Gartner at the Linn Group.

GARTNER: Wheat was pretty impressive considering we have not been able to compete for these marquee sales but continue to plug along with these smaller sales. We had 578 thousand tons sold. That was well above the estimate from 3 to 400. Corn, different story. Very disappointing. 457-thousand tons, that was about half of what the low end of the range was.

On Wednesday Chicago May wheat was down 10 ¾ at 525

May corn down 1 ¾  at 370 ½

Portland soft white wheat closed up mostly 5.65

Club wheat mostly 7.15

HRW 11.5 % protein mostly 6.07 up 3 to dn 12

DNS 14% protein mostly 7.79 dn 4

April live cattle 85.825 up .975

April feeders 93.850 up 2.27

April Class III milk 10.37 up a dime

I’m Greg Martin and that’s Market Line on the Northwest Ag Information Network.