01/126/07 Corn is the hot commodity

Marketline January 16, 2007 Traders return to the pits today following a three day weekend. Wheat futures saw big gains Friday with the help of a limit up move in corn and some market observers think corn could put in another big day today. The market is trying to buy corn acres to meet the demand for feed, exports and ethanol and that can benefit wheat. A negative for wheat in the USDA reports issued last Friday was an increase in U.S. wheat ending stocks. Carryover for 06-07 is now pegged at 472 million bushels, still down from the previous year's 571 million. On Friday Chicago March wheat was up 23 cents at 4-79 ½. March corn up 20 at 3-96 ½. Portland cash soft white wheat was two to seven cents higher at mostly 4-94. Club wheat 4-94. HRW 11.5 percent protein up 19 cents at 5-75. Dark northern spring 14% protein up to 24 cents higher at 5-82. Barley at the coast higher at 172 dollars a ton. USDA's National Feeder Cattle Summary for last week said feedlot deathloss from winter storms that hit between Christmas and New Year's will be measured in the tens of thousands and financial losses in the tens of millions. That summary also says erratic grain markets have made it impossible for feedlot managers to estimate cost-of-gains beyond what feeds they have on hand. Fridays limit up move in corn futures had feeder cattle futures limit down with March feeders off three dollars at 92-95. Feb live cattle were down 180 at 91-80. Feb Class III milk up 23 cents at 13-63. I'm Bob Hoff and that's Marketline on the Northwest Ag Information Network. Now this.