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US Plains spot hard red winter wheat basis bids were steady to mostly firmer Monday, with some merchants firming bids to try to free up fresh wheat supplies. The basis climbed 5 cents a bushel in Enid, Oklahoma, was 5 cents firmer in Hutchinson, Kansas, and 3 cents firmer in Catoosa, Oklahoma. The best bid in Omaha dropped 2 cents, however, as mill needs there were largely met for the moment, merchants said. Protein premiums were unchanged amid thin trade through Kansas City rail channels.
Over the weekend, Egypt's main official wheat buyer bought 55,000 tonnes of US wheat, along with 60,000 tonnes of French wheat and 30,000 tonnes of Russian wheat for May 21-31 shipment.
Meanwhile, Turkey tendered to sell 75,000 tonnes of milling wheat and 125,000 tonnes of durum, and South Korea tendered for 10,600 tonnes of US wheat, while an Israeli private buyer sought 20,000 tonnes of feed wheat.
The futures market closed 4-1/2 to 7 cents lower Friday, with May at $3.15-1/4 per bushel, down 6-3/4 cents, and July at $3.11-1/2 for a 6-cent loss. May set a new contract low of $3.11-1/2 Friday, marking a 62-1/2-cent decline since mid-March.
Futures prices were expected to continue to trend lower, with stiff export competition and good crop weather weighing on prices, traders said.

Copyright Reuters, 2005

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