Wheat futures lower; spring flooding in spring wheat belt?

Market Line December 17, 2010 Wheat futures had some double digit losses Thursday. The export sales report from USDA actually exceeded trade expectations. However, traders said there was active selling of wheat versus corn. Argentina also boosted its estimate of wheat production by four percent.

While the central and southern Plains wheat lacks a snow cover, the northern Plains has a seven inch cover, the deepest in seven years for this point in time. Add to that the La Nina and Allen Motew of QT Weather for the Linn Group says there could be planting delays next spring.

Motew: “If this snow pack continues, which it is very likely to do according to the latest outlook into springtime, we could have some severe flooding across the northern Plains, the Missouri River Valley and Mississippi River Valley.”

On Thursday Chicago March wheat down 15 cents at 7-49 ¾. March corn up 3 ¼ cents at 5-87 ½. Portland soft white wheat by rail only steady at mostly 4-72. Club wheat premium mostly 17 cents at Portland. New crop August soft white steady to lower at 6-77 to 7-15. Only new crop red wheat bids at Portland with hard red winter 11.5 percent protein lower at 7-97 to 8-18. New crop DNS lower at 9-07 to 9-12.

Cattle futures were mixed Thursday. A few sales of fed cattle in the central Plains were reported at 99 dollars, down from last week. This afternoon is USDA’s Cattle on Feed report. February live cattle down 37 cents at 103-52. January feeders up 72 at 118-37. January Class III milk up seven cents at 13-27.

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

Now this.