The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1922-04-17
GRAIN
DEALERS WATCH
MAY CONTRACTS
Interested in Seeing if
Speculative Holders Sell
Before Delivery.

CHICAGO. April 16.-As the May
delivery period approaches. the in
terest in the grain market in
creases. particularly in wheat.
There Is large holding Of May
wheat and rye, credited to a New
York exporter. who is said to have
the grain sold abroad to Sweden,
Holland and Germany. and ex-
poets to make a delivery on his
May holdings. There Is also a large
speculative holding in May by a
few Chicago operators. and a good
sized scattered interest held by
small speculators who have an
idea that wheat is to be very
scarce by the end Of May. and hope
that something will happen to send
prices up to sI.75 or better.
Whether the speculative holders
will take the cash grain delivered
In May. is the problem that is
creating a great deal of interest.
Recently the milling and export
demand for cash wheat has been
Disappointing, and holders Of the
grain at Missouri River markets
have sold upwards of 1000. 900
bushels to coma 10 Chicago as the
best outlet. the idea Of the buy.
ers being to deliver the grain on
sales for May. No one but elevator
operators here can make the
spread between Kansas City and
Chicago May wheat. which has
lately been IL to Is cents or bet
ter than the shipping difference.
and handle the grain with success
owing to the scarcity OF storage
room. II will be necessary to move
out several million bushels Of corn
and oats to take care Of the grain
that will come in from the country
and other terminal markets to ap,
ply on May sales. 1t may be neces-
sary in order to protect the coun-
try shipper. for the board of trade
officials to make car lots of grain
on track or in vessels. available for
delivery under the emergency
clause.
Disputes as to Grading.
The largest cash handler Of grain
here is to bring 100000 bushels of
rye from Duluth to Chicago. pre-
sumably for delivery on May sales.
Opinions of the trade vary as to
the grading OF the grain here. II
is assumed by some that Duluth rye
Will not grade No. at Chicago.
and will have to be delivered at
3h cents discount. while others as
sert that No. rye in Duluth. should
take the same grade in Chicago.
under the Grain Standards Act of
the Federal Government. which
should make a uniformity of grades
in all markets. They cite the ar
rival OF a cargo OF $4,000 bushels
OF Duluth rye at Chicago. last De-
cember. which graded No. 2. and
say that they see no reason why IL
should not make the grade now.
little of the hard winter wheat
coming from Kansas City to Chi
rago has missed grade. but so far
the quantity is not large. 1t is
understood that Kansas City cash
handlers recently made liberal sales
of hard winter wheat to Mime
apolis millers who refused to ac-
cept part of the. grain shipped as
not up to specifications. This Eeces-
STATED the shipping of a large
quantity of higher grade wheat to
fill their contracts There is said
to be around $50 cars of hard win
ter wheat that missed grade. at
Minneapolis which is being offered
to Chicago. creating the impression
that Minneapolis millers were re-
selling wheat.
Buying to "Grade Up
Kansas City grain men have been
buying good wheat in Omaha, to
use in bringing up the grading Of
their wheat. large percentage OF
which is poor stun, having been
burned and suffered other damages
that AFFECT its grading. Galveston
has been overloaded with poor
wheat for the last four months. and
is gradually cleaning up. There is
too much poor hard winter wheat
at the Missouri River markets and
a little more yellow hard winter at
Chicago. than there is call for at
present
Should the theories OF the trade
as to shortage, materalize in the
next two months. all the low-grade
wheats. as well as the choice. will
be consumed and nothing said
about II. Otherwise IL may be nee
essary TO carry over a fair percen-
tage of the poor stun into next
season. when II can be gradually
worked of by mixing It with the
new grain.