US Plains HRW Wheat-Basis steady as farmers remain reluctant sellers
CHICAGO, July 17 (Reuters) -Spot basis bids for hard red winter (HRW) wheat were steady in the U.S. Plains states on Wednesday while low futures prices disincentivized farmer selling, dealers said.
* Protein premiums increased by 5 cents for wheat with 12.4% to 12.8% protein levels.
* Protein premiums spiked during the previous two sessions. Dealers noted buyers have been seeking higher grade wheat to mix with lower protein wheat.
* Wheat futures rebounded on bargain buying and an influx of demand from global importers, traders said. However, the uptick was not significant enough to spur farmer selling, a dealer said. GRA/
* Most-active K.C. September wheat KWU24 was up 12-1/2 cents at $5.62-3/4 a bushel at the close of trading, after hitting a life-of-contract low in the previous session.
Basis values are quoted against futures in cts/bu:
Current | Previous | Cash | |||||
basis | basis | price | |||||
KANSAS | |||||||
Wichita | -3 | + | U | -3 | + | U | $5.59 |
Newton | -32 | + | U | -32 | + | U | $5.30 |
Goodland | -55 | + | U | -55 | + | U | $5.07 |
TEXAS | |||||||
Gulf track* | +120 | + | U | +120 | + | U | $6.82 |
Galveston** | +100 | + | U | +100 | + | U | $6.62 |
OKLAHOMA | |||||||
Enid | -15 | + | U | -15 | + | U | $5.47 |
Catoosa | +0 | + | U | +0 | + | U | $5.62 |
NOTES:
H = March, K = May, N = July, U = September
Z = December; UNQ = Unquoted bids
0 = Sp Option price; NC = No comparison
* = No. 1 12% hard winter wheat, rail bids
** = Ordinary protein, rail bids
LINKS:
* K.C. HRW wheat protein scales KCBT/SCA
* U.S. weekly wheat crop progress US/WHE
* U.S. forward basis WHEAT/BASIS
* U.S. Midwest cash grain PM GRA/PM
* U.S. CIF Gulf Grain GRA/C
* U.S. FOB Gulf Grain GRA/F
Reporting by Heather Schlitz; Editing by Cynthia Osterman
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