Weather and exports friendly for wheat; Japan buys beef

Market Line March 25, 2011 Wheat futures had strong gains Thursday as the latest weather outlook for the dry southwestern plains showed less precipitation than had been previously forecast. Allen Motew of QT Weather for the Linn Group at Chicago says a series of lows will pass through Kansas and that region;

Motew: “But what it does is very typical, it leaves that southwest part of the state and Oklahoma and the western plains into Texas dry.”

Parts of Kansas have also seen temperatures down in the teens this week.

Traders said the weekly export sales report from USDA was also supportive to wheat yesterday at 27.4 million bushels.

On Thursday Chicago May wheat up 25 ¼ cents at 7-39 ½. July new crop up 24 ½ at 7-74 ¾. May corn up 21 ½ cents at 7-02 ½. Portland soft white wheat for April steady to a dime higher at mostly 7-15. No club wheat bid.

New crop August white wheat steady to a nickel higher at 7-15 to 7-20. Hard red winter 11.5 percent protein up 23 cents at 8-90. DNS 14% protein 24 to 35 cents higher at mostly 11-51.

Export developments helped cattle futures close higher Thursday. Japan showed up in the weekly export sales report easing worries about the impact of the earthquake there on beef demand. Late cash fed cattle sales were reported at 114. April live cattle up 172 at 115-82. April feeders up 112 at 132-62. April Class III milk up 22 cents at 16-57.

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

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