08/30/06 Wheat futures lower; cattle mixed

Marketline August 30, 2006 New contract highs at European exchanges and tightening world stocks helped support U.S. wheat futures in early trading Tuesday but contracts closed lower on the day. Chicago closed near its daily low on fund selling. The market continues to await news about Iraq and India though Indian purchases are not expected to be for U.S. wheat. USDA reported this week that the U.S. spring wheat crop was 92 percent harvested. That compares with 74 percent last year at this time. The dry southern Plains has been getting moisture and USDA meteorologist Brad Rippey says there is more in the eight to 14 day forecast. Rippey: "Well it looks like a continuation of hot, dry weather across much of the west particularly across California and the Northwest. In terms of precipitation a couple of areas are going to stay wet and that would be the central and southern Plains and southwest. More relief for the upcoming winter wheat crop." On Tuesday December Chicago wheat was down 4 ½ cents at 4-00 3/4. December corn down 2 ¼ at 2-38 ¾. Portland cash soft white wheat steady to three cents higher at mostly 3-97. Club wheat 4-27. HRW 11.5 percent protein mixed at 5-29. Dark northern spring 14% protein one to two cents lower at 5-38. Live cattle futures were higher Tuesday with feeder contracts mixed. There were more new contract highs set during the session which brought on some profit taking. There are mixed views about just how cash fed cattle will trade this week. Oct live cattle up three cents at 92-53. Oct feeders down 17 at 117-45. Oct Class III milk down 11 cents at 12-80. I'm Bob Hoff and that's Marketline on the Northwest Ag Information Network. Now this.