Fed Chair comment help commodities

Market Line July 14, 2011 Wheat futures were sharply higher again Wednesday. Analysts say comments by Fed Chairman Bernanke, that he was not ruling out a QE3 gave a boost to commodities in general.

Once again wheat futures got spillover support from corn due to some hot weather to hit the western cornbelt next week during pollination. Allen Motew of QT Weather for the Linn Group;

Motew: The ridge then builds strongly for next week, parks itself right over Iowa, northern Missouri, western Illinois and sits there all week long.”

Wheat futures have also benefited from a big break in the U.S. dollar.

This morning is the weekly export sales report from USDA.

On Wednesday Chicago September wheat up 42 ½ cents at 7-14 ½. September corn up 22 ¾ cents at 6-86 ¾. Portland soft white wheat and club wheat 15 to 25 cents higher at mostly 6-80. New crop August white wheat up 25 cents at 6-75 to 7-05. Hard red winter 11.5 percent protein 29 cents higher at 7-97. DNS 14% protein 23 to 28 cents higher at mostly 10-37.

Live cattle futures were mixed Wednesday with feeder contracts lower. Feeders continued to be hit by sharply higher corn. Live cattle got some support from higher boxed beef prices and the hot weather that could limit feedlot gains. That weather is also seen as limiting beef demand.

August live cattle down 62 cent  at 113-40. August feeders down 212 at 139-90. August Class III milk up 18 cents at 19-39.

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

Now this.