Wheat Trade Mixed Friday, but Posted Corrective Gains for the Week

I’m KayDee Gilkey with the Market Line Report for July 15, 2013.

Wheat futures traded stronger throughout the session Friday as corn and soybeans dropped by double digits. The US Dollar was sharply higher which may have sent some moderate resistance into commodity markets but wheat futures continue to see buying support in the aftermath of the bullish USDA report. Bull spreading was noted in wheat vs. corn spreads. But wheat still doesn't have the strength to rally on its own. From the floor of the CME Group, Kyle Schrad shares his observations.

Schrad: “Not a lot in terms of news here today. Looking ahead all eyes are going to be on weather as we look into next week. There is currently a bit of a dome forming over the Western Corn Belt which leads to hotter, drier weather. The heat is welcome, the dryness not quite so much. The market will be looking for that dome to likely break up tail end of next week.”

Chicago September Wheat ended Friday down 2 cents at 6-81. September corn ended the day down 15 and 1/4 cents at 5-45 and 1/2.

Portland prices for soft white wheat and club wheat were down 2 cents at 7-42 and 3/4. Hard Red Winter Wheat with 11.5 pct protein prices were steady at mostly 8-18 and 1/2. DNS wheat with 14 pct protein prices were down 3/4 of a cent at mostly 8-76 and 1/2.

August live cattle were down 7 and half cents Friday at 121-85. August Feeder cattle were unchanged at 150-12 and half. August class III milk was down 15 cents at 17-65.