Milling & Baking News - July 13, 2010 - 35


Cash Wheat
HARD WINTER. Premiums on hard red
winter wheat in Kansas City dropped
5@17c a bu last week as wheat from the
expanding harvest encountered filled
domestic pipelines and limited export
demand. The widest losses were posted
across the bottom two-thirds of the
protein scale, reflecting the relatively
strong volume of wheat offers at those
protein levels. But premiums on higherprotein wheat also continued to decline
amid ideas offers of wheat with midrange
protein and high protein will be more
plentiful this year than during the past
two. The previous two hard red winter
wheat crops had low average protein.
Also a factor in the week's cash market
moves, the ongoing rally in wheat
futures prices lightened the pressure on
the cash basis to originate wheat.
Mills and country owners of wheat
discussed wheat transactions for JulySeptember, some business ensued, but
contracting fell short of inquiry.
Advancing flat prices of wheat in the
country encouraged a broad expansion
in farmers' wheat sales during the
Independence Day weekend. Further
gains in subsequent days were rewarded
with significant additional farmer sales.
The winter wheat harvest was 84%
completed in Kansas by July 4 compared
with 55% a week earlier and 80% as the
recent five-year average for the date,
according to the U.S. Department of
Agriculture's weekly Crop Progress
report. Most of the wheat remaining to be
combined was in the northwest corner of
the state. Combining was 90% completed
in Oklahoma (91% as the average for the
date), 78% in Texas (88%), 13 in Nebraska
(24%), and 21% in Colorado (29%).
Rain interrupted the harvest across
Kansas last week and slowed combines'
northward advance. Average protein of

No. 1 hard winter
Basis Kansas City September, cents per bu
July 9
- Change from - Year
Premium July 2 June 25
ago
Ordinary -60 @ -45 -10 @ -10 +6 @ +6 -24 @ -9
11%
-55 @ -40 -5 @ -5 +6 @ +6 -17 @ -2
11.2% -55 @ -40 -17 @ -17 -4 @ -4 -12 @ 3
11.4% -45 @ -30 -9 @ -9 -14 @ -14 -5 @ 10
11.6% -43 @ -28 -11 @ -11 -12 @ -12 5 @ 20
11.8% -38 @ -23 -6 @ -6 -7 @ -7 20 @ 35
12%
-34 @ -19 -11 @ -11 -10 @ -10 30 @ 45
12.2% -28 @ -13 -14 @ -14 -14 @ -14 35 @ 50
12.4% -18 @ -3 -15 @ -15 -20 @ -20 45 @ 60
12.6%
-9 @ 6 -13 @ -13 -13 @ -13 45 @ 60
12.8%
6 @ 21 -8 @ -8 -8 @ -8 60 @ 75
13%
9 @ 24 -8 @ -8 -21 @ -21 70 @ 85
13.2%
12 @ 27 -8 @ -8 -18 @ -18 75 @ 90
13.4%
12 @ 27 -8 @ -8 -18 @ -18 80 @ 95
13.6%
22 @ 37 -8 @ -8 -23 @ -23 85 @ 100
13.8%
36 @ 51 -13 @ -13 -23 @ -23 85 @ 100
14%
51 @ 66 -8 @ -8 -18 @ -18 87 @ 102
bakingbusiness.com / world-grain.com

wheat being harvested across northern
Kansas was running lower than that of
the southern half of the state.
HARD SPRING. Premiums on hard
red spring wheat quoted as delivered
Chicago/beyond values in relation to
the Minneapolis September wheat future
were 35c a bu higher to 30c lower last
week. Premiums were stronger at 12%
and 15% protein levels but sagged in the
middle during most of the week.
Spring wheat headed in the six key
states by July 4 was 52% compared with
57% as the recent five-year average for
the date, according to the U.S.D.A. Wheat
headed was 49% in North Dakota (53%
as the average for the date), 89% in South
Dakota (87%), 91% in Minnesota (62%),
15% in Montana (39%), 25% in Idaho
(48%) and 62% in Washington (86%).
Spring wheat rated good to excellent in
the six key states was 83% (84% a week
earlier and 72% a year ago) including 86%
in North Dakota, 74% in South Dakota,
84% in Minnesota, 78% in Montana, 97%
in Idaho and 80% in Washington.
Farmers were willing sellers of old
crop spring wheat with flat prices
advancing because of surging wheat
futures
markets
and
producers
themselves increasingly confident of
their new crop's prospects.
Several rain chances were forecast
for the northern Plains through the end
of the month, which should sustain the
good growing conditions.
The rail freight rate spread between the

delivered Chicago/beyond rate and the
Minneapolis unload rate remained 15c a
bu, according to Agricultural Marketing
Service office at the Minneapolis Grain
Exchange. The spread between the
delivered Chicago/beyond rate and
Duluth-Superior unload rate remained
25c a bu.
SOFT RED. Mill bids on soft red winter
wheat were firm. In Kansas City, No. 1
soft red bids advanced to 50c under K.C.
September to 40c over. Gulf bids on soft red
for nearby declined 8c, to 40c over Chicago
September. St. Louis mill bids were 50c
over Chicago September. Chicago mill
bids advanced 5c, to 15c under Chicago
September. Mill bids in Toledo for nearby
were 5c under Chicago September;
January-March, 20c under March.
Elevator bids were 20c under September.
Cincinnati nearby mill bids were 5c under
Chicago September. Elevator bids were
20c under Chicago September. Michigan
white wheat mill bids were 40@50c over
Chicago September.
The winter wheat harvest by July 4 was
93% completed in Missouri (81% as the fiveyear average for the date), 85% in Illinois
(74%), 71% in Indiana (51%), 48% in Ohio
(15%) and 100% in North Carolina (94%).
New crop quality was a concern
across much of southern portions of
Ohio, Indiana, Illinois and Missouri
with excessive vomitoxin content the
principal problem. The trade anxiously
awaited quality assessments as combines
worked their way northward. MBN

No. 1 hard spring

Cash wheat

Basis Minneapolis Sept., delivered Chicago\beyond cents
per bu
July 9 - Change from -
Year
Premium
July 2
June 25
ago
Ordinary
...
...
...
...
11%
...
...
...
...
12%
-30
+35 @ +15
+42
0
13%
-25 @ 0
+5 @ -5
+2 @ -18 10 @ 30
13.5%
30 @ 75 +10 @ +15 -33 @ +12 40 @ 50
14%
70 @ 85 -10 @ -30 -58 @ -58 60 @ 70
14.5% 140 @ 160 -10 @ 0
-58 @ -53
90
15%
280 @ 300 +10 @ +20 -8 @ -63 155 @ 170
16%
...
...
...
...
17%
...
...
...
...

Exporter bids and offers
For
July 9
shipment
Bid
Offer
No. 1 Hard 12%, Track Gulf
Basis Kansas City future, cents per bu
July
...
...
August
... Sep.
22
September
... Sep.
30
October
... Dec.
45
No. 2 Soft Red, c.i.f. New Orleans
Basis Chicago future, cents per bu
July
+40 Sep.
45
August
+45 Sep.
55
September
+55 Sep.
...
October
+55 Dec.
60

Ingredient Week

Year ago
bid

...
...
...
+85 Dec.

-50
-35
-10
-5

Sep.
Sep.
Sep.
Dec.

July 9 - Change from -
For shipment
Bid
July 2 June 25
No. 1 Soft White, Track, Portland
$ per bu
July
4.75
+.15
...
August
4.75
+.25
+.25
September
4.75
+.15
+.20
No. 1 Hard 11.5%, Track, Portland
Basis Kansas City future, $ per bu
July
-0.10
-.05
...
August
...
...
...
September
0.05
-.05
-.10
No. 1 Spring 14%, Track, Portland
Basis Minneapolis future, $ per bu
July
1.08
-
...
August
...
...
...
September
...
...
...

Year
ago
5.45
5.47
5.50
0.45
0.40
0.50

1.05
1.00
1.00

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

July 9
255.40
231.49
235.28
6.73
6.10
6.20

Change from Year
June 25
ago
+4.59
287.98
+2.59
252.56
+2.47
363.85
0.32
0.25
0.25

6.73
5.90
8.50

Milling & Baking News July 13, 2010 / 35
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Milling & Baking News - July 13, 2010

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