Macro economic concerns hit commodities

Market Line Nov. 24, 2011 Trading exchanges are closed for Thanksgiving today and USDA’s weekly export sales report is delayed until tomorrow.

Wednesday wheat futures were lower with Minneapolis again taking the biggest hit. Chris Robinson of Top Third AG Marketing at the CME says outside forces pressured commodities and that started with a report suggesting China is losing steam in its economy.

Robinson: “Number two, the Germans did a bond offering. They offered ten year bonds. It was the worst received bond auction since Germany has joined the Euro. Very negative for the outside markets and you saw the outside markets react. Dow Jones down 200 points and these grains just followed through.”

On Wednesday Chicago December wheat down 14 ¾ cents at 5-79 ¼. December corn down 10 ¼ cents at 5-88 ¾. Portland soft white wheat and club wheat was steady at 5-78. Hard red winter 11.5 percent protein steady to a dime lower at 7-12. DNS 14% protein down 20 cents at 9-52 in reaction to lower futures.

Cattle futures were steady to lower Wednesday. A commodity sell off and lower stock market were cited though cash fed cattle sold steady to higher and boxed beef was up. Packers are still operating in the red. December live cattle down a nickel at 121-40. January feeders down 122 at 145-80. December Class III milk down 19 cents at 18-13.

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

Now this.