10/17/07 Will wheat futures liquidation continue?

Market Line October 17, 2007 Wheat futures posted losses again Tuesday as the market continued in liquidation mode on ideas wheat has peaked. Chicago December traded near its 50-day moving average and Mark Chiodo of Slipka Trading at the Minneapolis Grain Exchange says if it falls below, we will see more selling. Chiodo: "If we can bounce off of that again and don't get below we will probably be okay. The other big item is that Morocco is in for 500-thousand tons of optional origin wheat. Cash traders tell me it should go Russian or Europe, but if they are not out there with enough quantity we may get a piece of it. We get some of it you should see a bounce in the wheat here and certainly some support." There were also ideas Egypt may soon buy. On Tuesday Chicago December wheat was down a nickel at 8-28 ½. New crop Chicago July down three cents at 6-68. Dec corn down 1 ½ at 3-60 ½. Portland cash soft white wheat and club wheat steady to 15 cents lower at 9-95 on limited bids due to due to port congestion. HRW 11.5 percent protein five to eight cents lower at 9-34. Dark northern spring wheat 14% protein 10-16 lower at 9-59. Barley at the coast 273 dollars a ton. Cattle futures were mostly lower Tuesday. There was fund liquidation and Positioning ahead of this afternoon's Cattle on Feed report which is expected to be bearish. Dec live cattle down 57 cents at 97-40. Nov feeders down 70 at 112-52. Nov Class III milk up a dime at 17-90. I'm Bob Hoff and that's Market Line on the Northwest Ag Information Network. Now this.