Large wheat supplies; little demand

Market Line January 20, 2010 Wheat futures continued their downward trend Tuesday. Traders said a higher dollar pressured wheat. Weekly export inspections for wheat were only about nine million bushels, which was below expectations. Mark Chiodo of Chiodo Commodities in Minneapolis adds this comment.

Chiodo: “The S & Ds for wheat ever it is worth, corn and wheat anyway, lend themselves to a lower price on the board here that what we have been trading with the large carryouts we’ve got. So more of the same from that standpoint.”

On Tuesday Chicago March wheat was down 9 ½ cents at five-dollars and a half cent. March corn down 2 ¼ cents at 3-69 ¼. Portland soft white wheat steady to lower at mostly 4-71. New crop August soft white 4-70 to $5. Club wheat premium $3.25. HRW 11.5 % protein down seven cents at 5-45. DNS 14% protein mostly 6-51. No Portland barley bids.

Cattle futures were higher Tuesday. Fund buying was noted along with technical factors. Cash fed cattle are also expected to be firm for the near term. Oklahoma cash feeders were up two bucks this week. Feb live cattle up 55 cents at 87-90. March feeders up 102 at 99-67. February Class III milk up 14 cents at 14-39. USDA reported December milk production in the major producing states was down 9/10 of a percent compared to December of 2008.

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

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