Exports bearish wheat, bullish cattle

Market Line April 15, 2011 Wheat futures were lower again Thursday. Rain for the plains was bearish particularly for Kansas City wheat. The weekly export sales report for wheat at 20 million bushels was under trade expectations. Virginia McGathey of McGathey Commodities at the CME says after the export numbers came there wasn’t much more news.

McGathey: “What happened was that most of the grains fell rather sharply just based on no supportive news coming in to give them a lift, as well as outside pressures coming in to add to the selling.”

There was more talk of the potential of wheat exports from India and the possible resumption of exports from the Black Sea.

On Thursday Chicago May wheat down 12 ¼ cents at 7-40 ½. July new crop down 11 ¾ at 7-76 ¼. May corn down 1 ¼ cents at 7-54 ¼. Portland soft white wheat steady at mostly 7-88. Club wheat premium at Portland mostly 25 cents. New crop August white wheat steady at 7-75 to 7-90. Hard red winter 11.5 percent protein down 11 to 21 cents at 9-07. DNS 14% protein down 14 cents at mostly 11-58.

Cattle futures posted gains Thursday. The weekly export report for beef was bullish and traders saw packers and feedlots getting close to agreeing on fed cattle prices. Boxed beef was lower. June live cattle up 72 cents at 116-50. May feeders up 75 at 133-77. May Class III milk down nine cents at 16-85.

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

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