Egypt buys some U.S. wheat again

Market Line August 27, 2009 Wheat futures had modest gains Wednesday despite the fact that the dollar rallied. What helped wheat was some export news. Joe Victor of Allendale Incorporated says that for the second straight week Egypt has purchased some U.S. soft red winter wheat.

Victor: “Egypt tenders for 30-thousand to 60-thousand tons. They pick up 120-thousand half of which comes from the United States, half from Russia. Surprisingly for the fact that U.S. wheat does hold on a per bushel basis about a 26-cent cheaper discount to the Russian wheat. That did of course help lift the wheat.”

An estimate by Germany of its wheat production was also friendly for wheat.

On Wednesday Chicago December wheat was up eight cents at 5-06 ¾.

December corn down a half cent at 3-26 ¼. Portland soft white wheat bids steady to a nickel lower but mostly 4-85. A two-dollar club wheat premium.

HRW 11.5 % protein nine to 11 cents higher at 5-56. DNS 14% protein seven to 12 cents higher at 6-24. No Portland barley bids.

Cattle futures were lower Wednesday. Live contracts saw traders pull back from their optimism about this week’s fed cash market. The directionless stock market didn’t help. Sell stops were triggered for both live and feeder contracts. October live cattle down 137 at 87-37. October feeders down 65 at 99-47. October Class III milk down 37 cents at 13-11 as futures ended five days of gains.

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

Now this.