Wheat Futures Sink Down Further

I’m KayDee Gilkey with the Market Line Report for June 27, 2013.

Wheat futures sank lower for most of the session on hedge pressure and technical selling. From the floor of the CME Group, Todd Horwitz shares his observations of Wednesday’s markets.

Horwitz: “On Wednesday’s grain trade we had mixed markets. We had what we like to call the silo squeeze in July soybeans and July corn as they both rallied where as the defferreds - November and December were both sell offs. Wheat was weak across the board but the markets are pretty mixed, we getting this new crop old crop mixture and now that July grains are coming up for delivery we are seeing some problems and we’re seeing some short squeezes here. But overall the picture looks really good for the grain markets. We will be waiting for the the acreage report on Friday.”

Chicago July Wheat ended Wednesday down 8 and 3/4 cents at 6-67. July corn ended the day up 7 and 3/4 cents at 6-64 and 1/2.

Portland prices for soft white wheat and club wheat were down 8 to 8 and 3/4 cents at 7-22. Hard Red Winter Wheat with 11.5 pct protein prices were down 7 to 10 cents at mostly 8-30 and 1/4. DNS wheat with 14 pct protein prices were up a 1/4 of a cent at mostly 9-12 and 1/2.

August live cattle were up Wednesday $1.05 at 122-17 and half. August Feeder cattle were up 1.05 at 148-92 and half. July class III milk was down a penny at 17-12.