03/08/07 Commodity strength helps wheat

Market Line March 8, 2007 Wheat futures posted modest gains Wednesday after seeing losses Tuesday. Joe Victor of Allendale Incorporated says strong outside markets helped the grains. Victor: "Really what set this market off, we started with the crude oil pushing higher, brought in the soybean oil pushing higher and then of course grabbed the soybeans. Next thing you know we've got wheat and corn following right along." There are some supply bears in wheat who are a bit concerned with the hot and dry trend developing in the hard red wheat areas and the drop in crop condition from last month for soft red wheat areas. The weekly export sales report is out this morning and then there may be some position squaring ahead of Friday's USDA Supply and Demand report update. On Wednesday Chicago May wheat was up a nickel at 4-78. May corn up 2 ½ at 4-24 ½. Portland cash soft white wheat was two to three cents higher at mostly 5-48. Club wheat 5-48. August new crop soft white two to five cents higher at 5-06. HRW 11.5 percent protein up two cents at 5-88. Dark northern spring 14% protein up a nickel at 5-98. Barley at the coast 170 dollars a ton. August at 151. Live cattle futures were higher Wednesday and so were most feeder contracts with the exception of nearby April due to the Goldman Roll. A nearly 4 ½ dollar jump in boxed beef prices was the catalyst for live cattle though some traders think they are about to top out. April live cattle up 95 cents at 98-55. April feeders down 12 at 104-90. April Class III milk down a nickel at 14-60. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.