03/22/06 Wheat futures stabilize

Marketline March 22, 2006 Wheat futures closed modestly higher Tuesday in what was described as a day of consolidation or technical recovery after the recent pressure from precipitation falling in the Plains. Joe Victor of Allendale Incorporated says the market was due for a bounce. Victor: "Both Kansas City and Minneapolis, even into Chicago, technically oversold. Did need a correction. Don't forget we are coming to the end of the month, end of March, but even more importantly coming into the end of the first quarter of the 2006 calendar year for many of the funds. What we did see was a correction technically from oversold status." On Tuesday May Chicago wheat was up 2 ¼ cents at 3-52 ½. May corn up 5 ¼ at 2-23 ½. Plenty of wheat in the pipeline meant not may exporter bids for soft white wheat for March but first half April was at 3-53. August new crop was higher at 3-60 to 3-65. No spot Club wheat bids. New crop HRW 11.5 percent protein higher at 4-76. Spot dark northern spring 14% protein higher at 5-22. No barley bids. Cattle futures were slightly higher Tuesday. There was some short covering due to the snow in the Plains feedlot region. Cattle did feel some spillover pressure from a break in hog futures. April live cattle up 13 cents at 83-47. April feeders up seven at 106-97. April Class III milk down three cents at 10-85. I'm Bob Hoff and that's Marketline on the Northwest Ag Information Network. Now this.