04/15/05 Higher dollar weakens commodities

Marketline April 15, 2005 Wheat futures continued to slide lower Thursday. One factor traders pointed to was the U.S. dollar index hitting its highest level since November 2004 which caused weakness in many commodities. Gary Hofer of Gary Hofer Commodities, says the E.U. also continued to subsidize wheat exports this week. It also is putting more non-subsidized wheat on the market. Hofer: "The weekly report of U.S sales of wheat showed only 389,400 metric tons. About as expected. The price trend for wheat is still to the downside but the current move is now a month old. Mature as futures prices trends go. So a pause or a bounce is expected soon. On balance however, the fundamental environment for wheat prices is not friendly." On Thursday Chicago May wheat was down 1 ½ cents at 3-09. May corn up 1 3/4 at 2-07 ½. Portland cash white wheat called steady at mostly 3-90. New crop August white wheat 3-72. Club wheat 3-95. PNW HRW 11.5 percent protein 3-99. Dark northern spring 14% protein 4-82. Export barley 104 dollars a ton. At auction this week 400-500 pound steers were 120 to 129 at Idaho Falls, 125 to 145 at Lewiston. Seven to eight weight steers 97 to 106 at Idaho Falls, 103 to 113 at Lewiston. More dressed cattle sales in the Plains yesterday three to four dollars higher than last week. Boxed beef was steady to weak. Those higher cash prices supported cattle futures. June live cattle up 57 cents at 84-85. May feeders up 45 at 106-25. May Class III milk down 24 cents at 14-15. I'm Bob Hoff and that's Marketline on the Northwest Ag Information Network.