STRIKE SETTLEMENT A FACTOR.
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.
EXPORTERS ACTIVE AT KANSAS CITY.
Receipts at Kansas City totaled 3,443 cars. The movement from the country was large and is expected to continue in good volume for some time. Milling demand was only fair. Eastern mills took only small lots and Northwestern mills also bought on a small scale because of the promising outlook for Spring wheat. There was an excellent export demand, however, and very active bidding was indulged in by exporters to the Gulf who were eager to obtain wheat to fill sales for shipment. Bids for wheat for August delivery were made as high as 17¢ per bu. over the Chicago September future price but later were reduced to 15¢ premium. Bids for September loading at the Gulf were made at 13¢ over the Chicago September price.