Los Angeles herald., 1909-02-14
WEEKLY GRAIN REVIEW
BY DICK BROS. & co.


CHICAGO, Feb. 19.-There has been enough
going on in wheat all week to keep the trade
guessing, and certainly the market has been
kept alive. The advance was the most re-
markable of any recorded since the bull cam
paign began. The situation at the close of
the week was this: The bull leaders have not
only stood pat on their holdings right along,
week after week, but early the past week they
added perhaps 1000, 600 bushels to their lines,
and increased the lightness in the May con-
tracts that much more. Many of the smaller
shorts who have been keeping low and hoping
for decided setback in the price, so they
could cover to advantage, to give this
up on the closing day of the week, and there
was covering by shorts from SLIPS the first
hour until the market touched S1.14 before the
close. There was some buying by big house
which is supposed to have short line for
eastern account. If this or any other big short
interest should get stampeded at thiSGtime
there might be q sensational advance. The
feature Of the Saturday market was the COM
posure of the trade the price mounted to
the high point. There was very little of the
usual excitement seen at such times The ex-
PLANTATION is found in the fact that most of
the local trade gave Hp fighting the advance
some time back, and the present upturn does
not concern the pit trade very greatly. The
prospect of II, ,00O, 600 bushels worlds Shipments
Argentine shipments the past week greatly in
excess of the estimate given out on Thursday,
and every indication Of very large increase
in the volume Of wheat afoat, while holding
cables a little in check, had little influence in
this market. The explanation for this is in
sight, as many others now concede that the
bull leader is right in his statement that wheat
is largely a domestic proposition. Stocks for
week were cut down largely at Kansas City,
ST. Louis, and there will be good decrease on
Chicago also. Cash wheat is selling at fancy
prices in the southwest markets, and wheat
in Chicago elevators is Practically not for sale.
Buyers in many cases are informed of this
fact when they attempt to get some wheat to
ship to country points. During the week Chi
cago shipped wheat into Michigan, Indiana and
to milling points close to st. Louis, as well as
many Illinois sections. The export clearances
for January fell heavily short Of last year. The
growing crop has favorable weather. The
Modern Miller Of ST. Louis calls the outlook
very good except in a small section Of west
ern Kansas. More rain and snow was pre-
dicted over Sunday. The local Trade has given
up the idea that the big line of wheat held on
May contracts will be for sale under cover of
strong and excited market. The result is
that those who are in the market either
keeping close to the bull side or keeping away
from short sales. Armour and others were
buying May and selling July wheat at more
than II cents spread.
The week ended with the corn trade some
what in the dark TO the probability of a
much larger nnovemnet. The thing which left
the trade In doubt was the weather forecast
for rain and snow over the shipping sections.
Corn has been sold from first hands in large
quantities over Iowa and Nebraska, but the
roads do not permit delivery. This kept the
run of corn very small up to the close of the
week. There is a hint of what is to come in
the large estimate of $40 cars for this Monday
Western advices say renters are perfectly will
ing to sell corn at Soc. 1t is this corn which
is expected to come forward and force some
reaction in prices in this market. But the
market closed firm at close to best prices 1t
will take an actual heavy movement of corn
to change the present builisHA tone of the trade
Early in the week there was Just such an
expected revival of activity and strength in
oats as has been suggested for some time past
as soon as good leadership was felt in the
market. The return of an oats specialist from
the west was the occasion for some very ac-
tive buying of May oats early in the week
and the trade, being ready for just such action,
took quickly to the bull side, and prices were
advanced sharply, the May going to 531Sc 1t
Is expected that receipts will increase as the
result OF the advance today This should give
a temporary reaction. The holders who bought
recently are in doubt for a further bull
campaign, and this will induce other buyers to
take hold quickly on fairly good dips
In spite of all the talk heard for two months
past about the wonderful falling off which was
to take place in hog supplies, the porkers keep
coming to this and all other packing points
with great regularity. 1t does not look as if
there is to be let up Eight away, as the esti-
mate for Monday is IS, GOO. and for next week
220, OOO Packers are taking a large share Of
these hogs and are putting the product in their
cellars without doing much hedging They
Will be in shape to advance prices of products
and sell to consumers at a higher level In
vestors are counting on just this thing and
are good buyers of May product every time
the market has particularly soft spot caused
by local bear operations