Milling & Baking News - April 7, 2009 - 64

Ingredient Week

 Cash Wheat

HARD WINTER. Premiums on hard
red winter wheat in Kansas City were
10c a bu higher to 5c lower last week.
The gains applied only to high-protein
supply. West coast mills bid aggressively
for limited offers of high-protein wheat,
which helped give the basis a boost in
K.C. Premiums at the middle-protein
levels dropped 5c on Friday after holding steady earlier in the week. Offers of
middle-protein supply expanded broadly on Friday and prompted the declines.
The basis on low-protein wheat received
little test. Foreign demand for U.S. hard
red winter wheat remained sluggish.
There were no indications of additional business being completed in the
market for to-arrive wheat.
Farmer selling of hard winter wheat
remained limited. The rally in wheat futures brought prices to near where they
were before the previous week's plunge,
but most producers held back from selling wheat. There was increased selling of
corn in the region, though.
Nature provided a heavy blanket of
snow across much of the region during
the previous weekend. Areas receiving
snow included the parched panhandles
of Texas and Oklahoma. Portions of western Kansas received yet more snow at
midweek, and additional snow or rain
was forecast for the region from April 3-5.
After this storm, cold temperatures were
expected to grip the region briefly with
freezing temperatures as far south as Dallas, where snow cover was lacking.
The principal hard winter wheat states
issued updates on crop conditions. Wheat
rated good to excellent on March 29 was
44% in Kansas (43% a week earlier), 25%
in Oklahoma (24%), 12% in Texas (13%),
68% in Nebraska and 50% in Colorado
(46%). Wheat rated poor to very poor was
36% in Oklahoma and 63% in Texas.

No. 1 hard winter
Basis Kansas City May, cents per bu
Apr. 3 - Change from -
Premium Mar. 27 Mar. 20
Ordinary 17 @ 32
-
-
11%
32 @ 47
-
-
11.2% 36 @ 51
-
-
11.4% 42 @ 57
-
-
11.6% 45 @ 60
-
-
11.8% 51 @ 66
-5 @ -5
-3 @ -3
12%
52 @ 67
-5 @ -5
-4 @ -4
12.2% 52 @ 67
-5 @ -5
-4 @ -4
12.4% 52 @ 67
-5 @ -5
-4 @ -4
12.6% 55 @ 70
-5 @ -5
-5 @ -5
12.8% 55 @ 70
-5 @ -5
-5 @ -5
13%
67 @ 82 +2 @ +2 +2 @ +2
13.2% 67 @ 82 +2 @ +2 +2 @ +2
13.4% 70 @ 85
-
-
13.6% 80 @ 95 +5 @ +5 +5 @ +5
13.8% 80 @ 95 +5 @ +5 +5 @ +5
14%
90 @ 105 +10 @ +10 +10 @ +10
bakingbusiness.com / world-grain.com

Year
ago
35 @ 65
65 @ 80
70 @ 85
85 @ 100
88 @ 103
95 @ 110
105 @ 120
110 @ 125
120 @ 135
125 @ 140
135 @ 150
150 @ 165
160 @ 175
170 @ 185
180 @ 195
225 @ 240
270 @ 285

Kansas wheat was 13% jointing on
March 29 compared with 20% as the recent five-year average for the date. Oklahoma wheat was 62% jointing compared
with 59% as the average. The Oklahoma
field office of the U.S.D.A. said the previous weekend's snow and rain was
expected to "significantly improve the
drought-stricken small grains crops."
Texas wheat was 14% heading on
March 29 compared with 5% as the average for the date. Much of western Texas
missed out on recent rainfall while the
rest of the state received up to 6 inches of
rain. Colorado wheat was 2% jointing.
HARD SPRING. Premiums on hard
red spring wheat in Minneapolis were
unchanged to 45c a bu to 10c lower last
week. Solid gains were scored at most
protein levels. Fourteen per cent protein
saw minor, mixed changes. Some mills
and exporters issued bids based on the
July future, and ideas were the cash market would shift to the July future in the
next few days.
Mill demand began to expand. With
offers so light from day to day, it didn't
take much increase in demand to give a
good boost to the basis.
Stronger cash wheat values reflected
the market's need to pry more supply
loose from firm producer hands. The
March 1 Grain Stocks report indicated
northern Plains farmers still held 67% of
the region's wheat on farms compared
with 40% on the same date a year earlier.
With recurrent snowstorms, flooding

and restrictions on thawing roads, truck
transport was increasingly difficult.
SOFT RED. Mill bids on soft red winter
wheat saw minor and mixed changes
last week. In Kansas City, No. 1 soft red
bids declined 5c, to 128c under K.C. May
to 53c under. Gulf bids on soft red for
nearby advanced 3c, to 25c under Chicago May. St. Louis mill bids held at 40c
under Chicago May. Chicago mill bids
for nearby were 110c under Chicago
May. Mill bids in Toledo for nearby advanced 10c, to 110c under Chicago May;
new crop, 130c under July. Elevator bids
were 97c under May; new crop, 110c under July. Cincinnati mill bids declined
5c, to 65c under Chicago May; new crop,
65c under July. Elevator bids were 72c
under May; new crop, 69c under July.
Michigan white wheat mill bids were
70c under Chicago May to 45c under;
new crop, 60c under July to 40c under.
Several soft red winter wheat states
updated crop condition ratings. Winter
wheat rated good to excellent on March
29 was 53% in Missouri (55% last year),
67% in Illinois, 65% in Arkansas, 69% in
Louisiana, 72% in Mississippi, 63% in
Georgia, 67% in North Carolina and 64%
in South Carolina.
The Missouri field office of the
U.S.D.A. commented in its report, "In
the northwest district, frost last fall may
have damaged more wheat than originally thought." The Arkansas office reported "some instances of powdery mildew and leaf rust" in that state. MBN

No. 1 hard spring

Cash wheat

Milling quality, basis Minneapolis May, cents per bu
Apr. 3
- Change from -
Year
Premium Mar. 27
Mar. 20
ago
Ordinary
...
...
...
...
11%
...
...
...
...
12%
-20
-10
...
...
13%
25 @ 35 +10 @ +20
0 @ +5 350 @ 400
13.5%
...
...
...
...
14%
120 @ 130 -5 @ +5 +10 @ +5 385 @ 400
14.5%
140 @ 170 +15 @ +40 +10 @ +35
...
15%
230 @ 235 +45 @ +25 +40 @ +10 405 @ 475
16%
225 @ 260
...
...
...
17%
...
...
...
...

Exporter bids and offers
For
Apr. 3
shipment
Bid
Offer
No. 1 Hard 12%, Track Gulf
Basis Kansas City future, cents per bu
April
+80 May
...
May
+80 May
90
June
+67 July
80
July
+67 July
80
No. 2 Soft Red, c.i.f. New Orleans
Basis Chicago future, cents per bu
April
-25 May
-18
May
-20 May
-10
June
-27 July
-20
July
-27 July
-20

Year ago
bid

...
...
+77 July
+77 July

+20
-60
-65
-65

May
May
July
July

Apr. 3 - Change from - Year
For shipment
Bid Mar. 27 Mar. 20
ago
No. 1 Soft White, Track, Portland
$ per bu
Nearby
5.55
-.05
-.10
10.25
April
5.55
-.05
-.10
10.25
May
5.55
-.05
-.10
10.25
No. 1 Hard 11.5%, Track, Portland
Basis Kansas City future, $ per bu
Nearby
0.35
-.05
-.15
1.10
April
0.35
-.10
-.15
1.10
May
0.35
-.10
-.15
1.35
No. 1 Spring 14%, Track, Portland
Basis Minneapolis future, $ per bu
Nearby
1.50
-.10
-.10
...
April
1.50
-.10
-.10
...
May
1.50
-.10
-.10
...

Canadian domestic milling wheat
In-store, Thunder Bay,
Canadian $ per tonne
Western red spring 13.5%
Soft white spring
Amber durum
U.S. $ per bu
Western red spring 13.5%
Soft white spring
Amber durum

Apr. 3
358.45
274.25
385.31
7.91
6.05
8.50

Milling & Baking News

Change from Year
Mar. 27
ago
+27.09
577.77
-1.22
417.13
-1.72
760.1
0.63
-
-

15.58
11.25
20.50

April 7, 2009 / 65
http://www.bakingbusiness.com http://www.world-grain.com
Milling & Baking News - April 7, 2009

Table of Contents for the Digital Edition of Milling & Baking News - April 7, 2009
