Milling & Baking News - October 4, 2011 - 39

Cash Wheat
HARD WINTER. Premiums on hard red winter wheat in Kansas City were unchanged to 39c a bu higher last week. Only the very lowest proteins, from ordinary wheat through 11.2% protein, were unchanged. The basis was 2@39c a bu higher from 11.4% through 14% protein with the widest gains posted across the upper third of the protein scale. The advances marked an extension of an upward trend that began the preceding week. Mill demand broadened but was not urgent. But with wheat oﬀers limited, mills had to raise bids to secure supply to keep pipelines ﬁlled as they awaited shipments for application against October contracts. The cash basis was especially buoyed by demand from millers seeking hard winter wheat to substitute for spring wheat because the latter was much more expensive than winter wheat with equivalent protein, with the spread reaching $2 at one point. A ﬁrming in the Gulf basis also was supportive. Recent wide declines in Kansas City wheat futures prices made U.S. wheat more competitive in some foreign markets especially as indications were Russia’s grain sales may begin to wane because of such heavy earlyseason exports by that nation. Farmer selling of hard winter wheat was light. The U.S. Department of Agriculture in its weekly Crop Progress report indicated winter wheat planting was 20% completed in Kansas by Sept. 25 (23% as the recent ﬁve-year average for the date), 11% in Oklahoma (31%), 14% in Texas (34%), 66% in Nebraska (63%), 54% in Colorado (64%), 54% in South Dakota (60%) and 46% in Montana (49%). Drought conditions continued across the southern Plains, but at least some rain fell a week earlier, which encouraged

producers to take to the ﬁelds of Oklahoma, Texas and southern Kansas. A meteorologist addressing Kansas City Board of Trade members last week said a major shift would occur in the weather pattern that has held the southern Plains in a grip of drought for months. He said the new pattern would bring some rain across the region, but it still was unclear whether it would be suﬃcient to break the drought. HARD SPRING. Premiums on hard red spring wheat quoted as delivered Chicago/beyond values were mostly weaker last week. The basis future shifted from the December to the March, which was trading about 30c a bu lower at the time. Demand for spring wheat was constrained by substitution of hard winter wheat for spring wheat by manufacturers of certain ﬂour blends. The U.S.D.A. indicated the spring wheat harvest in the six key states was 96% completed on Sept. 25 compared with 95% as the average for the date. In those states where harvesting was still under way, combining was 97% completed in North Dakota (95% as the average for the date), 88% in Montana (90%) and 99% in Washington (100%). The North Dakota Wheat Commission in its weekly crop progress update issued Sept. 27 said less than 90% of the new crop spring wheat samples have been analyzed at North Dakota State University. Average protein was at 14.9% and the falling number average

was 387 seconds, “indicating a sound wheat crop.” At 60 lbs per bu, average test weight was slightly higher than in the previous week; however, thousand kernel weights remained below average at 26.6 grams. Total defects were at 2%, with the majority being shrunken and broken kernels. The crop was grading a No. 1 dark northern spring with an average vitreous kernel count of 75%. SOFT RED. Mill bids on soft red winter wheat posted mixed but mostly ﬁrmer changes last week. In Kansas City, No. 1 soft red bids were unchanged at 95c under K.C. Dec. to 35c under. Gulf bids on soft red for nearby advanced 5c, to 60c over Chicago December. St. Louis mill bids were 15c higher at 20c over Chicago December. Chicago mill bids advanced 10c, to the Chicago December price. Mill bids in Toledo for nearby were unchanged at the Chicago December price; January, 10c over March. Elevator bids were 25c under Chicago December for nearby; new crop, 25c under July. Cincinnati nearby mill bids declined 10c, to 35c under Chicago December. Elevator bids for nearby were 32c under Chicago December; new crop, 43c under July. Michigan white wheat mill bids for nearby were 15c under Chicago December to 10c over. Winter wheat planting was 5% completed in Arkansas by Sept. 25 (3% as the average for the date), 3% in Missouri (5%), 7% in Illinois (5%), 5% in Indiana (5%), 1% in Ohio (4%), 11% in Michigan (18%) and 1% in North Carolina (1%). MBN

No. 1 hard spring
Basis Minneapolis March, delivered Chicago\beyond cents per bu Sept. 30 — Change from — Year Premium Sept. 23 Sept. 16 ago Ordinary ... ... ... … 11% ... ... ... … 12% ... ... ... -90 @ -80 13% 80 ... -40 @ -55 -50 @ -35 13.5% ... ... ... … 14% 100 -40 @ -55 -40 @ -50 40 @ 60 14.5% ... ... ... 50 @ 110 15% 95 @ 100 -35 @ -55 -40 @ -40 225 @ 350 16% ... ... ... … 17% ... ... ... …

Cash wheat
Sept. 30 — Change from — For shipment Bid Sept. 23 Sept. 16 No. 1 Soft White, Track, Portland $ per bu September ... ... ... October 6.40 +.05 -.48 November 6.43 +.05 -.49 No. 1 Hard 11.5%, Track, Portland Basis Kansas City future, $ per bu September ... ... ... October 0.55 — -.20 November 0.55 — -.20 No. 1 Spring 14%, Track, Portland Basis Minneapolis future, $ per bu September ... ... ... October 1.60 +.20 +.20 November 1.60 +.20 +.20 Year ago … … … -0.05 -0.05 -0.05

No. 1 hard winter
Basis Kansas City Dec., cents per bu Sept. 30 — Change from — Premium Sept. 23 Sept. 16 Ordinary 17 @ 32 — +2 @ +2 11% 20 @ 35 — — 11.2% 25 @ 40 — +5 @ +5 11.4% 37 @ 52 +2 @ +2 +7 @ +7 11.6% 46 @ 61 +6 @ +6 +11 @ +11 11.8% 55 @ 70 +10 @ +10 +15 @ +15 12% 70 @ 85 +18 @ +18 +27 @ +27 12.2% 70 @ 85 +18 @ +18 +27 @ +27 12.4% 70 @ 85 +18 @ +18 +27 @ +27 12.6% 74 @ 89 +19 @ +19 +29 @ +29 12.8% 90 @ 105 +35 @ +35 +35 @ +35 13% 100 @ 115 +30 @ +30 +37 @ +37 13.2% 108 @ 123 +38 @ +38 +45 @ +45 13.4% 108 @ 123 +38 @ +38 +43 @ +43 13.6% 109 @ 124 +39 @ +39 +39 @ +39 13.8% 109 @ 124 +34 @ +34 +39 @ +39 14% 115 @ 130 +35 @ +35 +42 @ +42
bakingbusiness.com / world-grain.com

Year ago -70 @ -55 -70 @ -55 -65 @ -50 -63 @ -48 -56 @ -41 -56 @ -41 -40 @ -25 -40 @ -25 -40 @ -25 -28 @ -13 -28 @ -13 -28 @ -13 -28 @ -13 16 @ 31 16 @ 31 16 @ 31 16 @ 31

Exporter bids and offers
For Sept. 30 shipment Bid Offer No. 1 Hard 12%, Track Gulf Basis Kansas City future, cents per bu September … … October +90 Dec. … November +90 Dec. … December +90 Dec. … No. 2 Soft Red, c.i.f. New Orleans Basis Chicago future, cents per bu September +60 Sep. … October +65 Dec. 75 November +75 Dec. 80 December +75 Dec. 80 Year ago bid

… … … …

Canadian domestic milling wheat
Change from Year In-store, Thunder Bay, Sept. 30 Sept. 23 ago Canadian $ per tonne Western red spring 13.5% 390.22 +19.60 300.64 Soft white spring 272.94 -8.52 270.24 Amber durum 582.14 +6.00 347.19 U.S. $ per bu Western red spring 13.5% 10.22 0.41 8.01 Soft white spring 7.15 -0.30 7.20 Amber durum 15.25 — 9.25
Milling & Baking News October 4, 2011 / 39

… +30 +40 +50

Sep. Dec. Dec. Dec.



Ingredient Week

1.15 1.15 1.40
http://www.bakingbusiness.com http://www.world-grain.com
Milling & Baking News - October 4, 2011

Table of Contents for the Digital Edition of Milling & Baking News - October 4, 2011
