Wheat futures mixed; cattle contracts higher

Market Line February 15, 2011 Wheat futures closed higher in Chicago and Kansas City Monday but lower at Minneapolis. Dryness in the U.S. southern Plains and in China were supportive factors. Also helping was news that Iraq purchased 200-thousand metric tons of U.S. wheat.

USDA’s weekly export inspection report was below trade expectations at 24 million bushels.

Allen Motew of QT Weather for the Linn Groups says some dry areas of Russia are getting moisture.

Motew: “Precipitation continuing to show across those areas of the southern Volga region down into the Caspian and Black Sea areas and even down across portions of the Middle East into Turkey and northern regions of Iran. Those areas are continuing to see precipitation on a fairly regular basis.”

On Monday Chicago March wheat up a nickel at 8-72. March corn down 10 ¾ cents at 6-95 ¾. Portland soft white wheat by rail only, steady to a nickel lower at mostly 8-70. Club wheat premium at Portland mostly 17 cents. New crop August white wheat steady to a dime higher at 8-60 to 8-75. Hard red winter 11.5 percent four cents higher at 9-80. DNS 14% protein down a nickel at 12-03.

Cattle futures had big gains Monday. Last week’s better than expected cash trade and strong export demand were cited. Lower corn helped feeder futures. April live cattle up 117 at 113-87. March feeders up 235 at 128-37. March Class III milk down a nickel at 18-73.