Wheat futures mixed after USDA numbers

Market Line November 11, 2009 Wheat futures closed mixed Tuesday after being down sharply early in the session on USDA’s boost in U.S. and world wheat ending stocks. Late rallies helped Chicago and Kansas City contracts close positive.

Louise Gartner with the Linn Group at the Chicago Board of Trade assesses where the wheat market is now.

Gartner: “This wheat market could indeed be in the beginning stages of another leg up or we are going to see more of the correction to the downside. But either way, this market looks like it wants to move away from the long term bear market at least for a moment, and probably for a few months that we will see this market, if nothing else, trade sideways. Most likely in a long term corrective type formation. Still has plenty of upside potential too.”

On Tuesday Chicago December wheat was up three cents at 5-23.

December corn up 8 ½ at 3-94 ½. Portland soft white wheat mixed at mostly 4-86. Club wheat premium mostly $3. HRW 11.5 % protein up four cents at 5-61. DNS 14% protein down a penny at 6-83 with a 12 cent premium for guaranteed 14 percent. No Portland barley bids.

Concerns about slowing beef demand and increasing numbers of market cattle pressured cattle futures Tuesday. Lower cash prices were a factor for feeders. December live cattle down 35 cents at 84-60. January feeders down 97 at 94-72. December Class III milk up 17 cents at 14-82.

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

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