01/19/07 Wheat fundamentals remain bearish

Market Line January 19, 2007 Early strength in corn helped wheat futures Thursday but when corn trimmed its gains wheat futures dropped to close lower, the exception being July in Minneapolis spring wheat. Peter Georgantones of Investment Trading Services in Bloomington, Minnesota favors the spring wheat contract right now. Georgantones: "I like buying Minneapolis against Chicago and Kansas City and I like buying new crop wheat on pull backs." Traders get USDA's weekly export sales report this morning. Yesterday pressure came from the outlook for more moisture of the winter wheat crop in the Plains. That makes new crop prospects look good as old crop carryover has been increasing. Japan decreased their weekly purchase volume suggesting to some that importers anticipate lower prices in the future. Wheat prices in Europe did get some support from some cold weather moving across the continent the next few days. On Thursday Chicago March wheat was down six cents at 4-71. March corn up 4 ¼ at 4-12 ¼. Portland cash soft white wheat was mixed from four cents lower to four cents higher but mostly 4-98. Club wheat 4-98. HRW 11.5 percent protein three to five cents lower at 5-61. Dark northern spring 14% protein unchanged to lower at 5-80. Barley at the coast 173 dollars a ton. Live cattle futures were lower Thursday with feeder contracts higher. Lower live fed cattle and boxed beef prices pressured live contracts. Feb live cattle down 15 cents at 92-40. March feeders up 80 at 93-55. Feb Class III milk up two cents at 13-63. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.