Egypt buys some soft white

Market Line November 11, 2010 Wheat futures posted losses again Wednesday. This despite news Egypt purchased some U.S. wheat. It purchased a cargo each of soft white and soft red but also bought wheat from Australia and France.

Some traders said there was pressure from weather forecasts for rain in dry areas of the winter wheat belt. Some light rain did fall and more could come this week in limited areas.

Strength in the dollar and profited taking were also cited as market factors yesterday.

An Australian bank says heavy rain, logistical bottlenecks and a strong Australian dollar could reduce wheat exports from down under despite a larger crop. While its been dry in Western Australia in the east rainfall is occurring as harvest gets underway.

On Wednesday Chicago December wheat down 11 ¾ cents at 7-10.December corn down 9 ½ cents at 5-66 ¾. Portland soft white wheat steady to a nickel higher at mostly 6-23. Club wheat mostly 6-23. No Portland red wheat bids. Minneapolis December spring wheat futures down 13 ½ cents at 7-82.

Cattle futures had strong gains Wednesday. Traders are now thinking cash fed cattle may trade higher this week and some technical factors were also viewed as bullish with the funds buying. Lower corn was supportive to feeder contracts. December live cattle up 120 at 99-40. January feeders up 152 at 114-95. December Class III milk down 13 cents at 13-38.

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

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