The possibility of an early settlement of the railroad and coal strikes
and a freer movement of grain were also considered by the trade as
factors that would tend to lower wheat prices.
Although corn and oats prices held fairly firm, the tone of the market
for these two grains appeared weaker as favorable weather improved the
crop prospects. The September corn future at Chicago closed at 62½¢ on
July 29, compared with 63¼¢ on July 22.
Receipts of wheat at Chicago were more than 1,000 cars larger than the
previous week, totaling 3,177 cars, of which 2,583 were winter wheat.
The movement appears to be about normal, however, as 3,973 cars were
received during the corresponding week last year. The quality of the
wheat received was good, about 71% grading Nos. 1 and 2, and 21% grading
No. 3, leaving only about 8% grading below No. 3.
Milling demand was slow during the first part of the week but improved
later. Export demand was active and sales totaling 2,600,000 bus. were
reported made from Chicago to exporters during the week. Premiums of
from 24¢ to 47¢ over the September future prices were still being paid
for cash wheat at Minneapolis. This is a reduction, however, of 1¢ from
the top and 3¢ from the bottom of the range quoted at the close of the
previous week. Receipts, especially of good quality, continued light.
The danger of rust damage had about passed in the spring wheat territory
as harvesting was well under way. The first car of new spring wheat
arrived during the week. Local mills and buyers were not inclined to put
out bids for wheat to arrive. Straight-to-arrive bids for 20‒day
delivery were being made at the close of the week at 15¢ over the
September price, and for 10‒day delivery at 25¢ over the September.
Northwestern mills are reported to be operating at about 60% of their
capacity.
In the Soft Winter wheat section the embargoes placed by the railroads
against shipments to the South and Southeast restricted shipments to
mills in that territory. This caused a lighter milling demand at St.
Louis and Cincinnati. At the former market, however, good buying by
elevator interests to cover sales for July and August shipments, and by
exporters for direct shipment to the Gulf, kept the market firm.
Receipts were 1,161 cars, most of which were Soft Winter.
About 82% of the 177 cars of Soft Winter wheat received at Cincinnati
graded No. 3 or better, principally because of test weight, and was of
good milling quality. Prices were firm notwithstanding the curtailment
of outbound shipments.