05/17/07 Wheat, cattle futures lower

Wheat futures closed lower on Wednesday. The market setback is attributed to the corn market losing steam and technical actions. July fell below the 20 day average of 4.98 ¾ and put selling pressure on that contract month. Beneficial rains in Europe, Australia, and the former Soviet Union adds to bearish sentiments. Joe Victor of Allendale says on Wednesday Chicago July wheat was down 5 ¼ at 4.96 ¾. VICTOR "Was able to hurdle above the five dollar mark but did close below. Again, a little bit of psychological resistance." July corn was 4 ½ higher at 3.76. Portland cash white 5.60 down a nickel. Club White also off .05 at 5.60. Pacific Northwest HRW 11.5 percent protein 5.72 down 05. Dark Northern Spring 14 percent protein off .03 at 6.08 Live cattle closed lower on the day that's to a bearish cash outlook. The afternoon boxed beef cutout report put choice up 51 cents and select up 74 cents. Wholesale prices continue to rise but the market appears certain that prices will fall after the Memorial Day weekend buying programs are through. Further uncertainty as to the market downturn is the cash premium to futures and forecasts that cash cattle will trade at $98 to 98.50 per hundredweight this week. June live cattle down .17 at 92.95. August feeders gained 25 at 113.10. June Class III milk lost .35, down to 18.30.