Egypt buys more soft white but futures close lower

Market Line September 29, 2010 Wheat futures saw some 20-cent plus losses Tuesday. Traders said improved conditions for winter wheat in the U.S., Australia and Russia prompted fund selling in wheat.

Egypt purchased 230-thousand metric tons of wheat, 120-thousand tons from France but 110-thousand tons of U.S. soft white wheat for November delivery.

The U.S. corn crop is 85 percent mature, well ahead of the five year average and USDA meteorologist Brad Rippey says the corn harvest is also ahead of normal.

Rippey: “The corn harvest advancing to more than one-quarter complete, 27%. That is well ahead of the five year average of 15%, last year‘s number of just six percent.”

Tomorrow USDA issues a quarterly grains stocks report.

On Tuesday Chicago December wheat down 21 ¾ cents at 6-84 ¾. December corn down 12 ¾ cents at $5. Portland soft white wheat down a nickel at mostly 6-25. Club wheat premium mostly 25 cents. No Portland red wheat bids. Minneapolis December spring wheat down 21 ¾ cents at 7-24 ¾.

Live cattle futures were mixed Tuesday with feeder contracts higher. The drop in corn was positive for feeders while traders are still thinking cash fed cattle will be a least steady this week on smaller show lists. Profit taking was cited. December live cattle unchanged at 99-30. November feeders up 82 at 110-60. November Class III milk down 27 cents at 15-70.

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

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