12/19/06 Wheat futures lower; cattle higher

Marketline December 19, 2006 A continued slow export pace, better weather for the U.S. winter wheat crop and signs of increased planted area around the world were all negative for wheat futures Monday and contracts closed lower. Export inspections for wheat were only 11.4 million bushels. Brian Hoops of Midwest Market Solutions in Yankton, South Dakota says wheat tried to come back though. Hoops: "Funds in the wheat sold 32-hundred contracts during the day. Wheat was the one that came off its lows and began to rally back bringing the corn market with it off its session lows." A new estimate of wheat production from the Australian government is unchanged from last month at 9.7 million metric tons but the forecast for Aussie exports was increased nearly two million metric tons from the last projection. On Monday Chicago March wheat was down 6 ¾ cents at 4-87 ½. March corn down 3 ¼ at 3-65 ¾. Portland cash soft white wheat two to four cents lower at mostly 4-89. Club wheat mostly 4-89. HRW 11.5 percent protein down seven cents at 5-68. Dark northern spring 14% protein four to nine cents lower at 5-76. Barley at the coast 182 dollars a ton. Cattle futures were sharply higher Monday. Bullish sentiment was stimulated by a winter storm brewing in the Plains cattle feeding areas. Lower grains was also positive. Feb live cattle up 97 cents at 90-47. Jan feeders up 127 at $100 even. Jan Class III milk up a penny at 13-16. USDA reports milk production in the 23 major states was up 2.5 percent during November from November of 2005. I'm Bob Hoff and that's Marketline on the Northwest Ag Information Network. Now this.