US Plains HRW wheat steady

17 Nov, 2007

US Plains hard red winter wheat basis bids were steady Friday, with the market remaining mostly quiet. Protein premiums for railcar wheat to and through Kansas City were 7 cents per bushel higher for 11.00 percent protein supplies and 5 cents firmer for 11.20-pro wheat, and 2 cents firmer for 11.80-12.40 percent protein supplies.
Futures prices at the Kansas City Board of Trade were expected to open 1 to 2 cents lower Friday after rallying on Thursday. KCBT December ended up 14-3/4 cents at $7.87 a bushel Thursday.
Wheat crops continued to suffer stress in certain dry areas of the US Plains and forecasts for colder and wetter weather next week were not expected to improve the situation with moisture seen as too light to offer much of a boost, wheat experts said.
On Friday, the US Department of Agriculture reported weekly export sales of US wheat totalled 416,000 tonnes, four percent below the prior four-week average, but slightly above the high range of trade estimates for 250,000 to 400,000 tonnes.
Elsewhere on the export front, Japan's Agriculture Ministry said Friday it has offered to buy a combined 150,000 tonnes of wheat from the US, Canada and Australia through a regular weekly tender closing on November 20. Drought concerns persisted in Australia, and remained supportive for wheat prices.

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