Corn Spillover Pressure Continues on Wheat Market

I’m KayDee Gilkey with the Market Line Report for July 26, 2013. ?
The wheat market traded down on the day Thursday on spillover pressure from the corn market. Wheat ended the day losing to corn on talk that maybe US wheat feed demand could back off sooner than expected if interior cash corn markets remain on the defensive. From the floor of the CME Group, Joe Vaclavik shares his observations of Thursday’s markets.

Vaclavik: “Now we’ve got this Decs corn contact under $4.80 and that is a new low close on the day. Corn -- I think traders are more confident that we are going to have the big crop there and a little less confident in the beans just because we really need to see what this August weather does in order to become really confident about the bean crop.”

Chicago September Wheat ended Thursday down 4 cents at 6-49 and 1/4. September corn ended the day down 12 and 1/4 cents at 4-96.??

Portland prices for soft white wheat and club wheat were down 4 cents at 7-12 and 1/2. Hard Red Winter Wheat with 11.5 pct protein prices were steady to down a nickel at mostly 7-99 and 1/4. DNS wheat with 14 pct protein prices were down 5 and 3/4 cents at mostly 8-41 and 3/4. ??

August live cattle were up 7 and half cents Thursday at 121-65. August Feeder cattle were down 67 and half cents at 152-35 and half. August class III milk was up 3 cents at 18-03.