Some dryness in the plains

Market Line October 7, 2010 Traders get the weekly USDA export sales report this morning and tomorrow USDA updates supply and demand reports.

On Wednesday wheat futures posted slight losses. Traders generally pointed to technical selling, weakness in corn and lack of fresh positive news.

USDA meteorologist Brad Rippey says that over the next two weeks dry conditions in the nation’s mid-section could affect winter wheat establishment.

Rippey: “And at this point we see still a lot of soil moisture across the northern plains but there are a few areas across the central and southern plains from Kansas and Colorado southward into Texas that have begun to dry out a little bit.”

On Wednesday Chicago December wheat down 5 ¼ cents at 6-58 ¼.

December corn down 2 ½ cents at 4-88 ½. Portland soft white wheat steady at mostly 5-92 with some exporters not offering bids. Club wheat premium mostly 17 cents. No Portland red wheat bids. Minneapolis December spring wheat down 6 ¾ cents at 7-05 ¼.

Live cattle futures were lower Wednesday with feeders mixed. Some cash fed cattle sales reported at two dollars lower than last week pressured live cattle and analysts say traders were mainly waiting for some outside bullish news that didn’t come. Data shows restaurant business is up for fine dining, which is good for high end cuts and also up for fast food, but down for restaurants catering to the middle class. December live cattle down 60 cents at 97-07. November feeders down 25 at 109-25. November Class III milk up 13 cents at 16-24.

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

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