05/30/06 Weather and harvest progress

Marketline May 29, 2006 The prospect of hot temperatures in the Plains over the weekend and early this week helped wheat futures close higher Friday ahead of what was a three-day holiday weekend for traders. They will be checking forecasts today as trading resumes and await USDA's weekly crop condition and progress reports due out after the close this afternoon. Brian Hoops of Midwest Market Solutions in Yankton, South Dakota, explains what the market is expecting. Hoops: "We are going to see wheat be stronger I believe on Tuesday going into Wednesday. Traders are going expect a drop in the winter wheat rating and that should give us some strength. Harvest pressure will probably cap the rally but we do expect a drop in the winter wheat ratings on Tuesday afternoon and then prices to pull back the rest of the week." Traders are also keeping an eye on reports of possible drought problems in China and Spain. On Friday July Chicago wheat was up six cents at 4-15 ½. July corn up ¾ at 2-54. Portland cash white wheat was steady to a penny higher at mostly 3-85. August new crop unchanged to higher at 3-98. Club wheat mostly 3-95. HRW 11.5 percent protein up seven cents at 5-66. Dark northern spring 14% protein up seven at 5-85. No Portland barley bids. Cattle futures traders will be looking for data on how well beef moved over the holiday weekend. Expectations had been for good movement. That and higher cash fed cattle prices Friday helped cattle futures post gains going into the long weekend. Aug live cattle were up 65 cents at 79-85. Aug feeders up 57 at 108-75. July Class III milk up 19 cents at 11-99. I'm Bob Hoff and that's Marketline on the Northwest Ag Information Network. Now this.