Milling & Baking News - April 16, 2013 - 44

Ingredient Week 

Wheat Futures
Wheat futures prices continued to advance last week from recent lows set in
the wake of bearish grain stocks estimates
issued March 28 by the U.S. Department
of Agriculture. Concerns over possible
freeze damage to the hard winter wheat
crop seemed to outweigh the impact of
a wetter weather pattern that was reducing the area of extreme and exceptional
drought. Confirmed and rumored export
sales of U.S. wheat to China also gave a
boost to wheat futures. At the same time,
ample U.S. and world supplies of wheat
tempered buying enthusiasm.
A Chinese purchase of 360,000 tonnes
of soft red winter wheat for shipment in
2013-14 was confirmed by the U.S.D.A.’s
24-hour reporting service. The market anticipated confirmation of additional Chinese purchases amid rumors the total demand from China was 1 million tonnes.
At the same time, the U.S.D.A. indicated
net export sales of U.S. wheat for shipment
in 2012-13 during the week ended April 4
totaled 263,500 tonnes, up 87% from the
previous week but down 50% from the
prior four-week average. Net sales for
2013-14 totaled 76,000 tonnes.
The U.S.D.A. on April 10 forecast the
carryover of wheat on June 1, 2013, at 731
million bus, up 15 million bus from the

March projection and compared with 743
million bus in 2012. Total wheat supply in
the United States was forecast at 3,142 million bus, unchanged from March and up
168 million bus from 2011-12. Seed use of
wheat was forecast at 76 million bus, up 1
million bus from March. Feed and residual
use of wheat in 2012-13 was forecast at 360
million bus, down 15 million bus from
March and compared with 164 million bus
in the previous year. U.S. wheat exports in
2012-13 were forecast at 1,025 million bus,
unchanged from March and compared
with 1,050 million bus in 2011-12.
The U.S.D.A. forecast for 2012-13
world wheat ending stocks at 182.26 million tonnes, up 4.03 million tonnes from
the March outlook and compared with
199.38 million tonnes in 2011-12.
The hard winter wheat states received
additional moisture, but amid cold temperatures, some of the precipitation fell
as snow and freezing rain. Freeze damage was evident. MBN

Millfeed
Prices were mostly higher with mixed
values in the Southwest and Upper Midwest, while Central states, Northeast
and California markets were higher in
both nearby and deferred.
Traders continued their refrain that

supplies were tight because of slack flour
grind. An explosion in the cleaning house
of a mill in North Carolina early in the
week reduced supply in that area. Material was pulled in from the Northeast and
other Southeast locations, which tightened supplies in those regions.
Feed demand remained strong as Kansas and the Upper Midwest grappled
with far-below-normal temperatures and,
in the case of the Upper Midwest, significant fresh snowfall. Traders said millfeed
remained widely used in rations because
competing ingredients such as soy hulls,
distillers’ dried grains and corn gluten
feed remained more expensive.
Market sentiment remained bearish
longer term as improved weather was
seen as resulting in a large corn crop and
lower prices that may depress millfeed
values. Still, uncertainty was building
that current weather delays may lead to
some reductions in corn planting.
Millfeed was $180 a ton in Kansas City
and $229 in Minneapolis, on a rail basis,
compared with corn at $250 a ton and
sorghum at $232 a ton, both K.C. Corn
gluten feed was steady at $210 a ton, distillers’ dried grain was down $5 at $245
a ton, and dehydrated alfalfa was steady
at $355 a ton, all K.C. Wheat germ held
steady. MBN

Wheat futures

Kansas City wheat futures
May contract, $ per bu

$ per bu; change in cents per bu

Kansas City
May
July
September
December
Chicago
May
July
September
December
Minneapolis
May
July
September
December

$10.00

Season’s
Low

— Change from —
Apr. 5 Mar. 29

Week’s
High
Low

Year
ago

High

7.53
7.59¼
7.70½
7.85¼

+27c
+26½c
+25½c
+22¾c

+26¼c
+27c
+26¾c
+25¾c

7.57
7.63
7.74
7.89¼

7.26¼
7.33¼
7.48½
7.62½

6.43
6.52
6.66¼
6.87

9.85
9.50
9.46¾
9.92¼

(05-25-11)
(05-26-11)
(11-29-12)
(05-26-11)

6.74
6.80¼
6.87¾
6.50

(05-11-12)
(05-14-12)
(12-14-11)
(05-11-12)

7.14¾
7.19½
7.25¼
7.38¾

+15¾c
+15¼c
+13c
+13¾c

+27c
+28½c
+26c
+25½c

7.16
7.20½
7.27¼
7.39½

6.88
6.93¾
7.02¾
7.17½

6.23½
6.30¼
6.44½
6.65¼

9.72
9.47
9.05¾
9.77¼

(05-26-11)
(05-26-11)
(11-08-12)
(05-26-11)

6.59¾
6.63
6.73¾
6.29½

(04-01-13)
(11-25-11)
(04-01-13)
(05-14-12)

8.07¾
7.98¾
7.95¾
8.05¼

+20¼c
+12¼c
+8¾c
+7¾c

+27½c
+18¼c
+15c
+15¾c

8.13
8.02½
8.00
8.11¼

7.77¼
7.74
7.75¼
7.84¼

8.24¼
8.20½
8.07¾
8.03¾

10.19¼
10.00
9.70
10.34

(07-01-12)
(07-20-12)
(09-14-12)
(07-23-12)

7.53½
7.60
7.48
7.34

(05-11-12)
(06-05-12)
(06-01-12)
(05-14-12)

Apr. 12

$8.50
$7.00
$5.50
A

J

O
Previous Year

J
Current Year

Chicago wheat futures
May contract, $ per bu
$10.20
$8.60

Bulk middlings

$7.00

$ per ton, delivered rail unless noted
N=Nominal
Spot
Kansas City
180 @ 195
Southwest, f.o.b. truck
245 @ 255
Minneapolis
229 @ 239
Upper Midwest, f.o.b. truck 225 @ 235
Chicago West
242 @ 252
Central states, f.o.b truck 225 @ 235
Buffalo
185 @ 200
Southeast
195 @ 210
N. & S. California
242 @ 257
Los Angeles, f.o.b. truck 238 @ 253
Paciﬁc Northwest
210 @ 230
Upper Midwest, sacked
350
Wheat germ
290 @ 320
44 / April 16, 2013 Milling & Baking News

Apr.
180@ 195
245@ 255
224@ 234
220@ 230
237@ 247
215@ 225
180@ 190
185@ 195
234@ 249
230@ 245
210@ 230

— Change from —
Apr. 5
Mar. 29
-5 @ —
-10@ -5
+5 @ +5
-5@ -5
—
+20@ +20
—
+20@ +20
—
+20@ +20
+10 @ +10
—
+10 @ +10 +10@ +10
+5 @ +5 +15@ +15
+10 @ +5
-5@ -5
+10 @ +5
-5@ -5
—
—

Year
ago
108@ 114
120@ 130
134@ 144
130@ 140
147@ 157
135@ 145
115@ 125
93@ 98
174@ 194
170@ 190
180@ 185

$5.40

May-June
170 @ 177
205 @ 215
189 @ 199
185 @ 195
202 @ 212
185 @ 195
135 @ 150
165 @ 175
224 @ 239
220 @ 235
210 @ 230

July-Sept.
151 @ 159
185 @ 195
184 @ 194
180 @ 190
197 @ 207
170 @ 180
130 @ 140
150 @ 160
189 @ 204
185 @ 200
200 @ 220

A

J

O
Previous Year

J
Current Year

Minneapolis wheat futures
March contract, $ per bu
$10.75
$9.75
$8.75
$7.75
$6.75
A

J

O
Previous Year

J
Current Year

bakingbusiness.com / world-grain.com
http://www.bakingbusiness.com http://www.world-grain.com
Milling & Baking News - April 16, 2013

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