US Plains hard red winter wheat basis bids held steady Thursday, with some dealers taking 5 to 6 cents protection against expected further weakness in futures prices, wheat merchants said. Protein premiums for railcar wheat to and through Kansas City were unchanged.
Farmers did not appear to be interested in selling what is left of their old crop following a downturn in prices at midweek, merchants said. "There was a little increase in selling on the upswing," said one western Kansas dealer. "I think with the sell-off, that will shut them off again. It's been quiet so far this morning and yesterday afternoon as well."
Hard red winter wheat futures on the Kansas City Board of Trade rose to contract highs Wednesday on fresh forecasts for further declines in Australia's wheat crop. But they closed sharply lower after a bout of technical profit taking, traders said.
KCBT wheat was 6 to 11-1/2 cents lower in overnight trading and futures were called to open 5 to 7 cents lower Thursday in a follow - though from Wednesday's decline.