Wheat futures mostly higher; live cattle have big gains

Market Line Nov. 4, 2011 The weekly export sales report for wheat came in on the low end of expectations but commentary says the outside markets provided enough support for futures to close mostly higher. Traders suspected short covering.

Meanwhile, the U.S. southern plains are expected to get more moisture. Allen Motew with QT Weather for the Linn Group at Chicago says that may come early next week.

Motew: “The heaviest band is still shaping up for next week for one to two inch rain from central Texas into central and eastern Oklahoma and mainly eastern Kansas up towards Iowa.”

On Thursday Chicago December wheat up 12 ½ cents at 6-36. December corn up 8 ½ cents at 6-53 ½. Portland soft white wheat and club wheat steady to nine cents higher at mostly 6-29. Hard red winter 11.5 percent protein seven to 12 cents higher at 7-85. DNS 14% protein three to eight cents higher at mostly 10-20.

Live cattle futures were sharply higher Thursday with feeders mixed. Strength in the cash fed market this week, higher stocks, and a lower dollar were supportive. Weekly export sales of beef were good and a U.S. Meat Export Federation official says Japan could ease its restrictions on U.S. beef by next April. December live cattle up 250 at 124-50. January feeders down ten cents at 147-40. December Class III milk up 63 cents at 18-35 on seasonal gains in cheese prices.

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

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