Corn helps wheat; still higher cattle futures

Market Line April 1, 2011 Wheat futures saw gains in the 30 and 40-cent range Thursday. USDA report numbers for wheat were actually bearish with stocks and acreage coming in higher than expected. Spring wheat was pegged at 14.4 million acres and all wheat at 58 million. But the surprise was corn stocks coming in below what traders were looking for and that helped the grains.

Brain Hoops of Midwest Market Solutions says the market wants more corn acres and that along with weather could reduce the spring wheat acreage He says winter wheat acres may change too.

Hoops: “Some of that could be torn up. You know there is a very poor crop growing in Oklahoma and Texas and some of that may just be torn up and collected insurance upon and then planted into corn and soybeans. So we could see some big shifts in the winter wheat as well.”

On Thursday Chicago May wheat up 36 cents at 7-63 ¼. July new crop up 36 at 7-99 ¼. May corn up 30 cents at 6-93 ¼. Portland soft white wheat for April steady to 20 cents higher at 7-15 to 7-50. Club wheat 7-63. New crop August white wheat steady to 25 cents higher at 7-25 to 7-55. Hard red winter 11.5 percent protein up 46 cents at 9-45. DNS 14% protein 33 to 38 cents higher at 11-97.

There were more historical highs for cattle futures Thursday. Factors cited were strong cash fed cattle with some prices to 124, higher boxed beef and good export demand. Outside money has also been moving in. June live cattle up 140 at 120-97. May feeders up 57 at 139-37. May Class III milk up seven cents at 16-70.

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

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