Wheat Futures Have Firmer Tone

Wheat futures traded higher into the closing bell Monday but settled well off session highs. Bull spreading was active in both markets as demand influences continue to show strength despite US wheat being overpriced vs. European and Black Sea offers. Japan is considering resuming purchases of western white wheat in August if certain conditions are met, one of which is that wheat is tested for the presence of GMO seed. From the floor of the CME Group, Greg Wagner shares his observations of Monday’s markets.

Wagner: “Cattle market -- cattle market was resilient in the face of what went on in hog market. The fact is in cattle you are looking at third quarter production probably being lower and it is begrudgingly begrudgingly holding its ground. We will look to how cash trade develops and go from there.”

Chicago September Wheat ended Monday up 3 cents at 6-63. September corn ended the day up 7 and 1/2 cents at 5-33 and 1/4.??

Portland prices for soft white wheat and club wheat were up 3 cents at 7-16 and 1/4. Hard Red Winter Wheat with 11.5 pct protein prices were up 3 and 1/4 at mostly 8-06. DNS wheat with 14 pct protein prices were down 2 and 1/2 cents at mostly 8-71.

August live cattle were up 12 and half cents Monday at 122-07 and half. August Feeder cattle were down 20 cents at 151-60. August class III milk was down 26 cents at 17-70.