Wheat futures see new lows

Market Line June 2, 2010 Wheat futures set some new lows in Tuesday’s trading and closed lower. A firming dollar, a modest sell off in equities and a sharper sell off in crude oil were cited. And then as Peter Georgantones of Investment Trading Services in Bloomington, Minnesota adds, the fundamentals of wheat remain bearish.

Georgantones: “Again, looking at wheat charts it is a very sloppy market. We have way more wheat than we need here right now in this country and around the world for that matter. It is going to a while to chew this. We are going to have to reduce supplies as well.”

Other commentators noted the advancing winter wheat harvest in the southern Plains adding to the negative tone. Weekly export inspections for wheat of only 12 million bushels wasn’t helpful either.

On Tuesday Chicago July wheat was down seven cents at 4-50 ¾. July corn down at nickel at 3-54. Portland soft white wheat steady at mostly 4-70. New crop August soft white unchanged at 4-60 to 4-70. Club wheat premium mostly 75-cents. HRW 11.5 % protein mostly 5-08. DNS 14% protein mostly 6-28. No Portland barley bids.

Cattle futures were mostly higher Tuesday. A higher stock market during the trading session provided support for cattle contracts. Feedlots were asking more for cattle this week. August live cattle up 37 cents at 89-62. August feeders up 105 at 109-47. July Class III milk down 20 cents at 13-30.

I’m Bob Hoff and that’s Market Line on Northwest Aginfo Net.

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