02/07/07 Wheat down, cattle up

Wheat futures traded lower on Tuesday. The market became vulnerable to speculative sell pressure after wheat dipped below the 200 day moving average at 4.58. USDA preliminary production data projects 2007 US wheat production at 2.17 billion bushels, up from 1.812 billion bushels last year. Meanwhile, the market does not expect any changes to USDA's January wheat ending stocks at 472 million bushels. March wheat contracts in Chicago gave up 7 ½ to finish at 4.51. March corn down 5 ½ to 3.96 ½. Portland cash white unchanged at 5.12. Club White down .04 at 5.12. Pacific Northwest HRW 11.5 percent protein mostly 5.57, down .04. Dark Northern Spring 14 percent protein down .02 at 5.79. Officials from the U.S. and South Korea will finally meet on South Korea`s rejection of U.S. beef shipments. The five-day "technical consultation" will occur this week near Seoul. Live cattle traded higher on Tuesday. Boxed beef cutout reports indicated choice was 66 cents higher and selects 65 cents higher. April live cattle 95.45 up .12. March feeders 99.02 up 1.77. March Class III milks at Chicago 14.60 a gain of .34. I'm Bill Scott in for Bob Hoff, that's Marketline on the Northwest Ag Information Network. Now this.