Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-06-11
CANADIAN WEATHER
AIDS WHEAT PRICE
UnfavorabIe Outlook for
Spring Crop Proves Strong
Market Factor.
BY FRANK j. WELLER.


Cash wheat prices, which lost 10 3
cents a buShel at the principal markets
when Government support was with
drawn, probably will continue relatively
strong so long as the Canadian Spring
wheat outlook is bad
The trade knew cash prices would
break as soon as sterilization buying
ceased and the fact that values are no
lower than they are, reflects the impor-
lance attached 10 news from the prairieS.
It has advanced the Canadian Spring
wheat market about cents.
1t was said by the manager Of one Of
the largest elevator companies in Win
nlpeg that worse reports III his eXper-
fence never had come from the Canad-
ian wheat country There IS a large
acreage he said which cannot be re-
vived 10 produce more than half crop
even II rains come Immediately. The
reports indicate that the crop VIII not
be worth much on 100000 acres IN
less moisture needs are met a. once.
Critical Condition Reported
A Canadian government report said
that practically the entire area of 1eav-
lest production was in a critical Condl-
ton. Plants, as a rule. now are in the
shot blade with growth averaging
4 inches. Continued dry weather has
caused further reduction of acreage and
a loss Of sOWn acreage from drifting
nearly equal to that Of last year. The
prospective acreage for harvest is 2l.-
226000 or 4 reduction from last year
of II per cert. Indicated production
is 288,700,000 bushels. A good general
rain bcfore June 10 might alter the sit
uation considerably Observers said.
Conditions in the United States Win
ter wheat belt vary considerably A F.
Anderson. State and Federal crop
statistiCian at Lincoln Neb reported
that in a lOOmlle field trip through
the western part Of the State he found
wheat seriously damaged by unpreCe-
dented weather conditions He said q
worse combination Of circumstances for
wheat previously had not visited West
ern Nebraska
Carl Robinson. Federal crop statisti-
clan for Texas. said that State had
prospective WELD Of 100000 900 bushels
compared with $4,000 900 TO 30000000
bushels for the last five years. Veteran
wheat men said that Northern Texas
has the best crop in its history. The,
Central Texas harvest is underway WITH
Yields running as high as 40 10 30
bushels an acre in some fields.
Recent strength in stocks has helped
wheat some. b.lt realization that cropp
scare in Canada is confronting the trade
seems TO have more influence. Some
said the short side Of wheat was dan
gerous at this time. particularly with
prices the lowest in IS years.
The expected decrease in primary re-
ceiptS has not appeared and now may
be DELAYED if farmers become scared
and ship out their wheat Receipts on
June 3 totalod 467000 bushels. COM
pared with 66I 900 bushels for the same
date a year ago.
The new. crop will start 10 move N
commercial quantities between the 18th
and 20th Of June Traders hava given
much attention 10 reports that ship
space has been chartered for 100000
bushels out OF Chicago. This would
relieve the congested storage situation.
Subsidy Discussed.
Political lead-rs from the Wheat
States profess to see in the subsidy Of
cents bushel to be granted on ex-
port wheat to Canadian growers an
advantage which might cause COrsid-
cradle distress among American farm
ers at time when price sterilization
has ben stopped by this govern
ment 1t was believed that by absorb
ing cents a bushel on freight charges
the dominion governments would make
1t possible to lay Canadian wheat down
in the world markets At a lower price
than usual and draw trade away from
the American products.
The better sentiment in stocks and
commodities should check selling Of
corn Excellent new crop prospects
continue 10 discourage new buying n
either cash or futures. OverSOld con-
ditions arc said ID be present in corn
as we'll as wheat
Feed grain markets are holding fairly
steady. Offerings are of only moderate
volume. but demand continues dull and
largely Of a hand-to-mouth character.
Generally however. offerings Of corn
are about equal TO trade requirements
and prices remain practically I'M