Wheat Futures Lead Charge Lower

I’m KayDee Gilkey with the Market Line Report for July 16, 2013.

Wheat futures traded lower on the day Monday and lost premium to the corn market throughout the session. From the floor of the CME Group, Joe Vaclavik shares his observations of Monday’s markets.
Vaclavik: “Despite the fact that we had a kind of a friendly report from USDA last week, wheat market has been unable to catch a bid. It really seems as if wheat has been unable to stand up on its own without a rally in the corn. Now wheat export business out of the U.S. slated to increase a little bit during the upcoming marketing year. China, in particular, is going to be the biggest buyer of U.S. Wheat than it has been in nine years. So we see some things over the longer term maybe shaping up as friendly in the wheat market but right now it is a contract in a market that has been trending lower for months and months and months.”

Chicago September Wheat ended Monday down 11 and 1/2 cents at 6-69 and 1/2. September corn ended the day down 9 and 1/4 cents at 5-36 and 1/4.

Portland prices for soft white wheat and club wheat were down 11 and 1/2 cents at 7-31 and 1/4. Hard Red Winter Wheat with 11.5 pct protein prices were down 7 and 1/2 to 17 and 1/2 cents at mostly 8-07. DNS wheat with 14 pct protein prices were down 11 and 1/2 cents at mostly 8-65.

August live cattle were up 60 cents Monday at 122-45. August Feeder cattle were up $2.52 and half at 152-65. August class III milk was steady at 17-65.