Weather and more new USDA numbers

Market Line July 6, 2009 Weather for the Midwest row crops may be the focus of traders today as they return from their long holiday weekend. Mark Chiodo of Slipka Trading at the Minneapolis Grain Exchange says there has been a lot of commentary about a ridge of high pressure building there.

Chiodo: “That’s kind of been in the forecast and hanging out there ten or 14 days. I am not sure how realistic it is but if it does show up we have the potential for a rally here. Everyone could use another round of rain coming up.”

On Friday USDA issues new production estimates for grains as well as updated supply and demand numbers.

For the first time in a long time, Egypt is reported to have purchased some U.S. wheat last week, 60-thousand metric tons of soft red winter wheat.

Wheat futures closed lower in the last trading session Thursday with outside markets providing negative pressure. Chicago September wheat was down 6 ½ cents at 5-29. September corn down 10 ¾ at 3-45 ¾. Portland soft white wheat and club wheat four to five cents higher at mostly 5-60 with some club bids to 6-60. August new crop soft white 5-65. HRW 11.5 % protein steady to down a dime at 6-04. DNS 14% protein mixed at 7-23. No Portland barley bids.

Last Thursday’s cattle futures trade saw mostly lower live cattle with feeder contracts mixed. Cattle were influenced by outside markets and lower corn futures. August live cattle down 87 cents at 84-87. August feeders down 32 at 103-45. August Class III milk down seven cents at 10-52.

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

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