Iran books new crop soft white

Market Line May 25, 2009 Iran is continuing to purchase Pacific Northwest soft white wheat booking 60-thousand metric tons of new crop. A major wheat buyer in Yemen that has only purchased Australian wheat for years has purchased northwest soft white as well. Portland cash wheat prices moved higher Friday along with double digit gains in wheat futures.

Peter Georgantones of Investment Trading Services in Bloomington, Minnesota says continued poor spring wheat planting weather is one catalyst behind the wheat rally.

Georgantones: “You just have the row crops on fire. Soybeans and corn, commodities in general have had a very strong upward week. Crude oil; gold; silver. Dollar in the tank. Dollar in the tank. Dollar hit a new low that also probably a more bullish factor than anything though we can‘t seem to get much demand into this market.”

And Georgantones thinks the higher move is overdone.

On Friday Chicago July wheat was up 19 cents at 6-12 ½. July corn up 6 ¼ at 4-30 ¼. Portland soft white wheat and club wheat seven to 15 cents higher at mostly 5-90 with some $1.05 premiums on club. August new crop soft white higher at 5-85 to 5-95. HRW 11.5 % protein 12-14 cents higher at 6-86. DNS 14% protein eight to 18 cents higher at 8-40. No Portland barley bids.

Cattle futures were firm Friday ahead of USDA’s Cattle on Feed Report. The USDA report pegged the feedlot inventory down three percent, placements up four percent and marketings down seven. On Friday August live cattle up 55 cents at 83-77. August feeders up 25 at 101-92. July Class III milk down 13 cents at 11-02.

I’m Bob Hoff and that’s Market Line on the Northwest Ag Information Network. Now this.