Milling & Baking News - February 15, 2005 - 36

I N G R E D I E N T

market wanted more wheat. And there
were indications of increased movement.
There was even more wheat that wanted
to move at current basis levels, but rail
logistics remained problematic. Railroads
remained from two to four weeks late
in placing rail cars and in completing
shipments. Interior mills have been
taking increased deliveries of truck
wheat, which tended to pressure the rail
market. Gulf bids have weakened, as has
the market for hard winter in the Pacific
Northwest. All contributed to somewhat
weaker cash wheat market tone.
Mills and elevators were closer to
doing some April-May business. But
such transactions were difficult in
cases where shippers/receivers were
dependent on the B.N.S.F., as that
railroad had no car offers for April-May.
Farmers displayed no interest in selling
more wheat. While no loan deficiency
payments have been made on hard red
winter this crop year, Southwestern
producers have collected $655 million in
L.D.P.s on their fall crops. There seemed
to be little financial stress in the country.
Temperatures continued to shift between
warm and cold. A pattern of regular doses
of welcome precipitation continued.
Texas, Nebraska and Oklahoma updated
their crop condition ratings. Rated good to
excellent was 63% of the Texas crop (29%
fair), 56% in Nebraska (31% a year ago)
and 70% in Oklahoma (22% fair).
The ADM Milling facility at Enid, Okla.,
was in limited production; operations
had been interrupted by explosion in
plant's bulk flour storage and load-out
facility a couple of weeks ago.
HARD SPRING. Premiums on hard red
spring wheat at Minneapolis were 5c a
bu higher to 35c lower last week. The
basis had a distinctly softer tone but
remained at historically high levels.
Spot offers increased. Mills absorbed most
milling quality offered but were reluctant to
buy more than absolutely necessary with
the basis still strong even after the week's
losses. Also discouraging a more aggressive
stance was the widening in the inverse in
Minneapolis March to May wheat futures
prices to 8c a bu from 5¼c at the end of the
previous week. The inverse had traded as
wide as 10c a bu on Thursday.
Merchants said a lot of wheat held in
country wanted to move, but railroads
remained far behind schedule in placing
rail cars and completing shipments.
Duluth export elevators were onagain/off-again buyers and provided little
support. The Pacific Northwest market for
spring wheat also was weaker.
Northern Plains producers have
collected $510.4 million in L.D.P.s on

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their 2004 crops so far this marketing
year, including $66.3 million in payments
on 378 million bus of spring wheat.
SOFT RED. Mill bids on soft red winter
wheat were firm to 10c a bu higher last
week. Tightening supplies of milling
quality were expected to keep the cash
market strong into the new crop year.
In Kansas City, No. 1 soft red bids held
at 50@75c over K.C. March. Gulf bids on

W E E K

nearby advanced 6c a bu, to 98c over
Chicago March. St. Louis mill bids held
at 105c over Chicago March for less than
2 p.p.m. vomitoxin and minimum 300
falling number. The Chicago mill basis
advanced 10c a bu, to 84c over Chicago
March. Mill bids in Toledo were steady
at 5c over Chicago March; new crop,
July price. Elevator bids were 5c under
March. The Cincinnati mill basis held at
30c over Chicago March. Elevator bids

Chicago Wheat Futures

No. 1 Hard Winter

March contract, $ per bu

Basis Kansas City March, cents per bu
Premium Week's Change Year ago
Ordinary
63 @78
-4 @ -4
30@40
11%
63 @78
-6 @ -6
35@45
11.2%
63 @78
-6 @ -6
36@46
11.4%
63 @78
-6 @ -6
36@46
11.6%
63 @78
-6 @ -6
37@47
11.8%
63 @78
-6 @ -6
39@49
12%
63 @78
-6 @ -6
39@49
12.2%
63 @78
-6 @ -6
40@50
12.4%
63 @78
-6 @ -6
40@50
12.6%
63 @78
-6 @ -6
42@52
12.8%
63 @78
-6 @ -6
44@54
13%
63 @78
-6 @ -6
45@55
13.2%
63 @78
-6 @ -6
46@56
13.4%
63 @78
-6 @ -6
47@57
13.6%
63 @78
-6 @ -6
48@58
13.8%
63 @78
-6 @ -6
49@59
14%
70 @85
-5 @ -5
50@60

Chicago Wheat Futures
May contract, $ per bu

No. 1 Hard Spring, Minneapolis
Milling quality, basis March, cents per bu
Ordinary
11%
12%
13%
13.5%
14%
14.5%
15%
16%
17%

Wheat Futures

Week's Change
...
...
...
+5 @-20
-10 @-10
-20 @-25
+5 @-15
-5 @-35
...
...

Year ago
...
...
...
25 @27
...
45 @55
...
65 @75
...
...

No. 1 Hard Amber Durum

$ per bu
Week's
change
Feb. 11 (cents)
Kansas City
March
3.29½
+7¼
May
3.19¾
+3¾
July
3.11½
+6
September 3.18
+5
December 3.28
+5½
Chicago
March
2.94½
+6¾
May
3.03
+6½
July
3.09
+5¾
September 3.14½
+6
December 3.22¾
+7
Minneapolis
March
3.40½
+5¼
May
3.32½
+2½
July
3.30¾
+1¾
September 3.29
+¾
December 3.36¼
-1¾

Premium
...
...
...
45
75 @ 90
120
165
205 @ 215
...
...

High

Low

Year
ago

3.34
3.21
3.12½
3.18½
3.28½

3.23
3.15½
3.05½
3.12½
3.22½

3.84
3.86¼
3.83½
3.85¼
3.93

2.97¾
3.05
3.11
3.15½
3.24½

2.88¼
2.96½
3.03½
3.09¼
3.17¾

3.80¼
3.86½
3.79½
3.83
3.90

3.46
3.35½
3.31
3.30
3.38

3.35½
3.21½
3.26½
3.25
3.33½

4.13½
4.04¾
3.98
3.93¾
3.98¼

Track, $ per bu
Choice milling

Feb. 11
5.25

Week's
change
-

Year
ago
5.15

Exporter bids and offers
No. 1 Hard 11%, Track Gulf
Basis Kansas City future, cents per bu
For shipment
Bid
Offer
February
77 over March 82
March
74 over March 83
April
82 over May
...

Year ago bid
58 over March
58 over March
53 over May

No. 2 Soft Red, c.i.f. New Orleans
Basis Chicago future, cents per bu
For shipment
Bid
Offer Year ago bid
February
98 over March 104 46 over March
March
94 over March 100 49 over March
April
80 over May
90
45 over May

Milling & Baking News, February 15, 2005 / 37
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Milling & Baking News - February 15, 2005

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