Milling & Baking News - September 15, 2015 - 49

X
Cash Wheat
HARD WINTER. Premiums on hard
red winter wheat in Kansas City were
unchanged to 8c a bu higher last week. The
basis advanced 3@8c from 11.4% through
14% protein but was unchanged below
11.4%. The upward adjustments were the
first advances seen in the cash hard winter
wheat basis since Aug. 21. Mill pipelines
still were mostly filled, but it seemed
there was need for some fill-in supply to
supplement what was being received for
application against September contracts.
There was a minor deterioration in rail
performance indicated, but it was not a
market feature as yet. Export demand for
hard red winter wheat remained tepid.
Mills and other wheat buyers earlier
bought supply heavily for delivery in
September-December and even JanuaryMarch, and they've been able to sustain
operations mostly through applications.
New business in the market for to-arrive
wheat was constrained by a wide spread
between deferred bids and offers.
There remained a wide carry in the
cash hard red winter wheat market
overall. October-December 12%-protein
hard red winter wheat quotes included
bids of around 90c and offers at around
105c over the K.C. December compared
with 60@70c over for the nearby.
Deterioration in railroad performance
was detected, but this was not yet a
significant market feature.
Farmer selling was limited. For
producers, low wheat prices were a
frustration, and those with the capacity to
store wheat were inclined to do so in the
hope prices strengthen in coming weeks.
Elevators continued to eye wide Kansas
City futures carrying charges, which also
seemed to encourage holding as opposed
to aggressively marketing wheat.
Winter wheat planting was just under
way across the hard winter wheat region.

No. 1 hard winter
Basis Kansas City Dec., cents per bu
Sept. 11 - Change from -
Premium Sept. 4 Aug. 28
Ordinary 46@ 56
-
-4 @ -4
11%
46@ 56
-
-9 @ -9
11.2% 46@ 56
-
-9 @ -9
11.4% 60@ 70 +5 @ +5 +5 @ +5
11.6% 60@ 70 +5 @ +5 +5 @ +5
11.8% 60@ 70 +5 @ +5 +5 @ +5
12%
60@ 70 +5 @ +5
-
12.2% 63@ 73 +8 @ +8 +3 @ +3
12.4% 63@ 73 +4 @ +4 +3 @ +3
12.6% 65@ 75 +6 @ +6 +5 @ +5
12.8% 65@ 75 +6 @ +6 +5 @ +5
13%
65@ 75 +3 @ +3 +3 @ +3
13.2% 65@ 75 +3 @ +3 +3 @ +3
13.4% 65@ 75 +3 @ +3 +3 @ +3
13.6% 65@ 75 +3 @ +3 +3 @ +3
13.8% 65@ 75 +3 @ +3 +3 @ +3
14%
65@ 75 +3 @ +3 +3 @ +3
bakingbusiness.com / world-grain.com

Year
ago
90 @ 100
90 @ 100
100 @ 110
105 @ 115
105 @ 115
115 @ 125
125 @ 135
125 @ 135
125 @ 135
125 @ 135
120 @ 130
120 @ 130
120 @ 130
115 @ 125
120 @ 130
130 @ 140
140 @ 150

Planted as of Sept. 6 was 1% of the crop
in Kansas (1% as the 2010-14 average for
the date), none in Oklahoma (1%), 1%
in Texas (2%), 2% in Nebraska (9%), 5%
in South Dakota (7%), 13% in Colorado
(5%) and none in Montana (zero).
In Fort Worth, posted elevator bids on
hard red winter wheat for nearby were 30c
under K.C. December, unchanged. Posted
Salina truck bids at terminal elevators for
nearby were 20c under December, down
10c. Hutchinson nearby elevator bids were
10c under December, unchanged. The best
posted Wichita elevator bid was 30c under
December, unchanged. Gulf bids on hard
red winter wheat with 12% protein for
September were 92c over December, up 2c.
HARD SPRING. Premiums on hard red
spring wheat in Minneapolis were 25c a
bu higher to 25c lower last week. The cash
wheat basis was pressured by harvest
movement. Because of a more normal
protein distribution in the 2015 crop
than was the case during the previous
two years, the basis at the higher protein
levels was at a fairly typical premium to
the basis on wheat with lower protein.
Last year, when average protein was low,
14%-protein wheat was quoted up to $4.60
a bu higher than 13%-protein wheat.
Basis quotes for October-December
were indicated to be about 20c higher
than on the nearby.
Spring wheat growers pondered
marketing options. Certainly, price
generated no enthusiasm to sell beyond
pre-harvest obligations. Farmers with

space to hold their remaining wheat
likely will do so, although some increased
movement may precede what was
expected to be a large fall crop harvest,
which should begin in about three weeks.
Spring wheat in the six major states
was 94% harvested as of Sept. 6,
compared with 55% a year ago and 76%
as the 2010-14 average for the date.
SOFT RED. The cash soft red winter
wheat market exhibited wide regional
variations. Wheat quality was poor across
several areas in the Mississippi and Ohio
river valleys. The principal problems
were sprouting and low falling number.
Many key mills were reaching out to
adjacent and even distant territories
to procure milling quality wheat. This
translated to strong regional bids often
well above those quoted below.
St. Louis area mill bids for nearby
were 30@45c over Chicago December,
unchanged. Chicago mill bids for nearby
were 15c over December, unchanged.
Toledo mill bids for nearby were 45c over
Chicago December, down 10c; last-half
October, 50c over; November-December,
55c over. Elevator bids were 20c over
December. Cincinnati elevator bids were
45c under Chicago December. Michigan
white wheat mill bids varied widely
depending on mill needs. The highest
nearby bid was about 300c over Chicago
December, but some bids were indicated
as low as about 170c over. Gulf bids on
soft red winter wheat for September were
37c over December, up 5c. MBN

No. 1 hard spring

No. 1 hard winter premiums, 12.2%

Basis Minneapolis Dec., delivered Chicago\beyond cents
per bu
Sept. 11
- Change from -
Year
Premium
Sept. 4
Aug. 28
ago
Ordinary . . .
...
...
...
11%
...
...
...
...
12%
68
+3
+16
80 @ 85
13%
60 @ 85
0 @ +25 +3 @ +18 85 @ 140
13.5%
70 @ 75
+5 @ 0
+11 @ -17
...
14%
75 @ 80
...
+8 @ -7 250 @ 600
14.5%
75 @ 100 -5 @ -25 -20 @ +5
...
15%
140 @ 175 +10 @ +25 -2 @ +18 605 @ 650
16%
...
...
...
...
17%
...
...
...
...

Exporter bids and offers
For
shipment

Sept. 11
Bid

Ingredient Week

Offer

No. 1 Hard 12%, Track Gulf
Basis Kansas City future, cents per bu
September
92 Dec.
104
October
+105 Dec.
111
November
+110 Dec.
122
December
+110 Dec.
122
No. 2 Soft Red, c.i.f. New Orleans
Basis Chicago future, cents per bu
September
+37 Dec.
43
October
+50 Dec.
70
November
+60 Dec.
80
December
+80 Dec.
80

Year ago
bid

+135 Dec.
+155 Dec.
+155 Dec.
+155 Dec.

+55 Dec.
+65 Dec.
+90 Dec.
+90 Dec.

Basis Kansas City, cents per bu
170
150
130
110
90
70
50
S

D

M

J

Cash wheat
Sept. 11 - Change from -
For shipment
Bid Sept. 4 Aug. 28
No. 1 Soft White, Track, Portland
$ per bu
August
5.35
-
-.20
October
5.35
-
-.20
November
5.35
-
-.20
No. 1 Hard 11.5%, Track, Portland
Basis Kansas City future, $ per bu
August
1.00
-
+.25
October
1.00
-
+.20
November
1.00
-
+.20
No. 1 Spring 14%, Track, Portland
Basis Minneapolis future, $ per bu
August
1.00
-
-
October
1.00
-
+.05
November
0.95
-.10
-.05

Year
ago
7.00
7.03
7.06
1.30
1.40
1.40
2.20
2.50
2.50

Milling & Baking News XSeptember 15, 2015 / 49
http://www.bakingbusiness.com http://www.world-grain.com
Milling & Baking News - September 15, 2015

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