09/05/06 A holiday, hurricane and high fuel prices

Marketline September 5, 2005 Futures exchanges are closed today for the Labor Day Holiday and when it comes to the cattle market, traders are going to pay lots of attention to beef clearance over the holiday given high gas prices and the disruption to distribution in the hurricane ravaged Gulf states. Monte Reese, CEO of the Cattlemen's Beef Board admits the potential of reduced consumer spending on beef is a concern. Reese: "That's why we have to be able to provide some high quality beef products at a lower price point and we think we have some of those. And I think we will see more turning to ground beef. Let's have hamburgers tonite instead of steaks. I don't think we are gonna see a wholesale shift to chicken." Cattle futures were higher Friday in a late short covering rally though contracts were lower on the week. Fed cattle sold a dollar lower. Oct live cattle up 15 cents at 81-20. Oct feeders up 70 at 108-58. Oct Class III milk down eight cents at 14-28. Wheat futures were lower heading into the three-day weekend getting spillover pressure from private production estimates for corn and soybeans. Concerns also continued over the disruption to grain exports through Louisiana ports. On Friday December Chicago wheat was down 2 ½ cents at 3-20. December corn down a nickel at 2-17 1/4. Portland cash white wheat was mixed at mostly 3-38. Club wheat 3-46. PNW HRW 11.5 percent protein lower at 4-21. Dark northern spring 14% protein lower at 4-82. Export barley 105 dollars a ton. I'm Bob Hoff and that's Marketline on the Northwest Ag Information Network.