Milling & Baking News - May 28, 2013 - 44

Ingredient Week 

Wheat Futures
Prices of wheat futures advanced last
week bringing to an end a two-week
slide, although price gains were trimmed
at the week’s end. Unexpectedly strong
demand for U.S. wheat with the end of
the crop year approaching and before
harvest pressure on pricing developed,
ongoing concerns about hard winter
wheat quality and strength in corn and
soy complex futures provided a boost to
wheat prices. Tempering the wheat market’s advance were forecasts for a record
world wheat crop in 2013-14.
The U.S. Department of Agriculture
reported net export sales of U.S. wheat
during the week ended May 16 for delivery in 2012-13 totaled 239,400 tonnes,
up 91% from the previous week and up
55% from the prior four-week average.
Export sales for 2013-14 totaled 713,600
tonnes, well above expectations.
China last week bought 180,000 tonnes
of soft red winter wheat for delivery in
2013-14, according to the U.S.D.A.’s 24hour reporting service.
Winter wheat condition ratings remained poor with the abysmal condition
of the hard winter wheat crop pulling
down the overall average. The U.S.D.A.
rated 31% of the winter wheat crop in
good to excellent condition and 41% as

poor to very poor, nearly unchanged
from ratings posted since the growing
season began.
The winter wheat harvest was expected to proceed about two weeks behind
the normal pace, even three weeks behind in some areas. Winter wheat heading was 43% on May 19 compared with
62% as the recent five-year average for
the date. The Texas harvest was just under way at 2% completed by May 19.
Spring wheat planting was 67% completed by May 19 compared with 76% as
the five-year average. Heavy rain interrupted seeding for a while last week.
Stronger corn and soybean futures
markets exerted an upward pull on the
wheat markets.
While several market features argued for
higher wheat pricing, a record-large world
wheat crop was forecast for 2013-14 with
production to exceed 700 million tonnes for
the first time. Improved weather conditions
for Russian wheat areas exerted pressure
on wheat futures at midweek. MBN

Millfeed
Nearby prices were mostly steady to
higher last week in quiet trading, with
the exception of the Northeast, where
values were lower through June. Nearby Upper Midwest prices were sharply

higher. Deferred values were mostly
steady to weaker across the country.
Demand remained steady. Traders
said cool temperatures were keeping demand for supplemental feed fairly firm
despite increasing availability of pasture.
“Everybody is going to be down for
three days,” an Upper Midwest trader
said, as traders assessed flour mill run
times. The long Memorial Day weekend
was an occasion for mills to take scheduled downtime for maintenance. Some
feed mixers covered needs well before
the holiday weekend. Spot quotes were
nominal at several locations because
supplies were sold out.
Flour demand was lackluster, and
some facilities reduced grind for that
reason. Facilities generally expected at
most 5½ days of run time until after the
holiday. Ideas prevailed that millfeed
supplies, though, would be adequate
to meet buyers’ needs and that prices
might drift lower on seasonal factors.
Millfeed was $135 a ton in Kansas City
and $184 in Minneapolis, on a rail basis,
compared with corn at $260 a ton and sorghum at $235 a ton, both K.C. Corn gluten
feed was down $5 at $195 a ton, distillers’
dried grain was at $200 a ton, and dehydrated alfalfa was steady at $355 a ton, all
K.C. Wheat germ held steady. MBN

Wheat futures

Kansas City wheat futures
July contract, $ per bu

$ per bu; change in cents per bu
May 24
Kansas City
July
September
December
March
Chicago
July
September
December
March
Minneapolis
July
September
December
March

— Change from —
May 17 May 10

Week’s
High
Low

Year
ago

$10.00

Season’s
Low

High

$8.50

7.45¾
7.52¾
7.69¼
7.82

+8½c
+8½c
+8c
+7¼c

-13c
-14¼c
-15¼c
-15¾c

7.59¼
7.65½
7.81¼
7.93¼

7.31½
7.38½
7.54
7.67¼

7.00
7.15
7.38
7.52

9.50
9.46¾
9.92¼
9.86½

(05-26-11)
(11-29-12)
(05-26-11)
(05-25-11)

6.80¼
6.87¾
6.50
6.64½

(05-14-12)
(12-14-11)
(05-11-12)
(05-14-12)

6.97½
7.04½
7.18
7.22½

+14¼c
+13½c
+10½c
-1¾c

-6¾c
-8c
-12c
-24½c

7.09
7.15
7.28½
7.43

6.74
6.81½
6.97
7.13½

6.80
6.94½
7.15½
7.31

9.47
9.05¾
9.77¼
9.82

(05-26-11)
(11-08-12)
(05-26-11)
(05-26-11)

6.63
6.73¾
6.29½
6.52

(11-25-11)
(04-01-13)
(05-14-12)
(05-14-12)

8.05¾
7.99¼
8.06
8.18¼

+2c
+4¼c
+5½c
+6½c

-3c
-5½c
-6¼c
-5c

8.22½
8.13
8.19¼
8.30

8.00¼
7.90¾
7.97½
8.10

7.86¼
7.83
7.90
7.97½

10.00
9.70
10.34
10.34½

(07-20-12)
(09-14-12)
(07-23-12)
(07-23-12)

7.60
7.48
7.34
7.43

(06-05-12)
(06-01-12)
(05-14-12)
(05-14-12)

$7.00
$5.50
M

A

N
Previous Year

F
Current Year

Chicago wheat futures
July contract, $ per bu
$10.20
$8.60

Bulk middlings

$7.00

$ per ton, delivered rail unless noted
N=Nominal
Spot
Kansas City
135 @ 145
Southwest, f.o.b. truck
175 @ 185
Minneapolis
184 @ 194
Upper Midwest, f.o.b. truck 180 @ 190
Chicago West
197 @ 207
Central states, f.o.b truck 170 @ 180
Buffalo
130 @ 140
Southeast
135 @ 145
N. & S. California
205 @ 220
Los Angeles, f.o.b. truck 201 @ 216
Paciﬁc Northwest
195 @ 210
Upper Midwest, sacked
350
Wheat germ
290 @ 320
44 / May 28, 2013 Milling & Baking News

May
135@ 145
175@ 185
184@ 194
180@ 190
197@ 207
165@ 175
120@ 130
145@ 155
205@ 220
201@ 216
190@ 205

— Change from —
May 17
May 10
—
+7@ +7
+10 @ +10 +15@ +15
+10 @ +10 +25@ +25
+10 @ +10 +25@ +25
+10 @ +10 +25@ +25
+10 @ +10 +25@ +25
—
+5@ 0
—
—
-2 @ -2
-1@ -1
-2 @ -2
-1@ -1
+5 @ +5
—

Year
ago
145@ 150
165@ 175
154@ 164
150@ 160
167@ 177
155@ 160
150@ 160
135@ 140
171@ 201
167@ 197
180@ 190

$5.40

June
135 @ 143
160 @ 170
169 @ 179
165 @ 175
182 @ 192
160 @ 170
115 @ 125
140 @ 150
200 @ 215
196 @ 211
185 @ 200

July-Sept.
131 @ 140
155 @ 165
179 @ 189
175 @ 185
192 @ 202
150 @ 160
110 @ 120
135 @ 145
180 @ 195
176 @ 191
180 @ 195

M

A

N
Previous Year

F
Current Year

Minneapolis wheat futures
July contract, $ per bu
$10.75
$9.75
$8.75
$7.75
$6.75
M

A

N
Previous Year

F
Current Year

bakingbusiness.com / world-grain.com
http://www.bakingbusiness.com http://www.world-grain.com
Milling & Baking News - May 28, 2013

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