08/29/07 First signs of wheat rationing?

Market Line August 29, 2007 Wheat futures were narrowly mixed Tuesday in a choppy trade. Wheat futures had been higher in early trading on news of new highs for wheat prices in Europe. But then there was news that Egypt passed on U.S. wheat in favor of Russian grain in a tender this week. Japan also bought less wheat last week than usual. Joe Victor of Allendale Incorporated says these could be the first signs of the market rationing wheat. Victor: "We are going to give this a day or two to wash out and to see if in fact there is a trend starting to build with the world buyers of wheat to see if they are scaling back. We have a little bit of evidence between Japan and now Egypt. We shall see. We have of course a 3-day weekend ahead of us." On Tuesday Chicago December wheat was up a quarter cent at 7-38 ¼. Dec corn down 8 ¼ at 3-44 ¾. Portland cash soft white wheat steady to four cents higher at mostly 7-21 on moderately active country selling. Club wheat 7-23. HRW 11.5 percent protein unchanged to up a penny at 7-30. Dark northern spring wheat 14% protein one to two cents lower at 7-41. Barley at the coast 210 dollars a ton. Cattle futures were mixed Tuesday. Action in the live pit was described as profit-taking selling as the market has already priced in higher cash cattle and cash beef prices. Boxed beef was higher Tuesday. Oct live cattle down 15 cents at 97-60. Oct feeders down two at 118-85. Oct Class III milk up 34 cents at 19-33. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.