China Driving Grains

This is Matt Rice with the Market Line Report for Wed, Aug 10th. China and South America controlling grain prices as exports and demand rise together. Here's Gary Kozlowski explains more from the floor of the CME in Chicago with the USDA.

Kozlowski "Good afternoon, Gary Kozlowski coming to you from the floor of the CME. As we've been seeing the last few days and we're continuing to see. Let's start out with the soy beans, China again has been a big buyer lately. This is 9 days in a row that we've seen this activity going on. We're probably going to see it extended as we're seeing the US dollar has pulled back this morning, and it looks like it's going to continue on a slower downward trend. So we should see exports really start to pick up on the Soy Beans. Again, the weaker dollar is really helping. One of the areas a lot of people were worried about was the crop conditions, well we're not seeing a huge amount of volume but we are still seeing some pretty good trading activity going on."

Chicago Sept. Wheat prices closed yesterday unch, at 416 ½. Sept. corn ended the day dn 3, at 322 ¾. Portland prices for soft white wheat of Ordinary Protein for Aug. ended the day up 12- unch, ranging from 4-87 to 4-90. Hard Red Winter wheat with 11 ½ % protein, prices for Aug. were up ¼, ranging from 4-90 to 5-20. DNS wheat with 14 % protein, prices for Aug. were Dn 1 ¼, ranging from 5-83 ¼ to 6-08 ¼. Aug Live Cattle were up 5 cents, to finish the day at 117.00. Aug Feeder cattle were up $1.05, to close the day at 150.52 ½. Aug. class III milk was Dn 8 cents at 17-07.