05/16/07 Wheat futures ride corn higher /spud stocks report

Market Line May 16, 2007 Wheat futures got help from row crops again Tuesday to close higher. There was pressure on wheat early from improving conditions for both hard red winter and soft red winter wheat but as corn and soybeans moved higher so did wheat. Closing higher on bearish crop news is seen as potentially positive. Joe Victor of Allendale says there is concern about dryness in China which could impact both corn and wheat. He says there are also reports about the return of La Nina. Victor: "If in fact that is confirmed this trade may be willing to put a floor under the recent lows we have seen for both wheat and corn, spring wheat specifically." On Tuesday Chicago July wheat was up 5 ½ cents at 5-02. July corn up 8 ¼ at 3-71 ½. Portland cash soft white wheat was unchanged to down a dime at mostly 5-65. Club wheat 5-65. August new crop soft white mixed at 5-35. HRW 11.5 percent protein up nine cents at 5-77. Dark northern spring 14% protein up three cents at 6-11. Barley at the coast 170 dollars a ton. August at 154. USDA reports potato stocks in the 13 major states as of May 1st were down four percent from last year and 17 percent below May of 2005. Weak corn futures early helped cattle futures Tuesday but contracts closed mixed. Expectations are for steady or better cash fed cattle this week. Boxed beef was higher again Tuesday but now there is concern demand will taper off after Memorial Day demand is met. June live cattle down seven cents at 93-12. August feeders down 37 at 112-85. June Class III milk down 24 cents at 18-65. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.