Wheat futures mixed; economic news good for cattle
Market Line December 23, 2011 Wheat futures closed higher at Chicago and Kansas City Thursday, mixed at Minneapolis. Traders cited short covering as a factor as was weakness in the dollar index. Weekly export sales for wheat were reported within trade expectations. Chris Robinson with Top Third AG Marketing at the CME assesses the current market environment. Robinson: “The outside markets are holding up better. One thing were watching as well, crude oil rallied back about ten dollars from its recent lows. So, if those things stay supportive and we have a weather issue in South America it could be friendly for the grains here for the next several weeks. Certainly in front of that January 12th USDA report.” On Thursday Chicago March wheat up 4 ¾ cents at 6-21 ¾. March corn up a penny at 6-17 ½. Portland soft white wheat and club wheat bids were called steady to weak Thursday at mostly 5-92. Hard red winter 11.5 percent protein up two cents at mostly 7-27. DNS 14% protein up two at 9-77. Cattle futures saw some big gains Thursday. U.S. jobless claims were reported yesterday at the lowest level in over three years which could be good news for beef demand. The higher prices triggered technical buying. There had been little cash fed market activity but expectations are now for a possible firm trade. February live cattle limit up $3 at 123-45. January feeders up 250 at 146-87. January Class III milk up 12 cents at 17-34. Markets close early today and are closed Monday. I’m Bob Hoff and that’s Market Line on Northwest Aginfo Net. Now this.
