Conflicting statements on Russian grain export ban

Market Line September 8, 2010 Wheat futures were mostly lower Tuesday. One factor traders pointed to were conflicting reports out of Russia about just how long its grain export ban would last. Lynn Smith of the Zaner Group at the Chicago Board of Trade has more.

Smith: “There is some talk from Russia that they are going to extend the ban on their grains until after this year. Then someone came out and said no, that is not the case. They may review even before the end of this year. So, there is some conflicting reports coming out of Russia on what they are going to be doing. Of course that creates uncertainty among traders not certain which way it is going to go either.”

A rally in the dollar was also negative for wheat. Weekly export inspections for wheat were 22 million bushels, down from last week’s 27 million.

On Tuesday Chicago December wheat down six cents at 7-35 ¼. December corn up 1 ¾ cents at 4-66 ¼. Portland soft white wheat steady to a dime lower at mostly 6-58. Club wheat premium mostly ten cents. HRW 11.5 % protein down a nickel at 7-47. DNS 14 percent protein 8-49.

Cattle futures saw some big losses Tuesday. Concern that Labor Day weekend beef clearance was slow brought on late fund selling. Weakness in other markets including the stock market was also negative. October live cattle down 210 at 96-35. October feeders down 265 at 112-42. October Class III milk up a penny at 15-64.