Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-02-14
SCARCITY OF CORN
MAY HELP PRICES
Forthcoming U. S. Report Is
Likely to indicate Reduc.
ton in Holdings.
BY FRANK 1. WELLER.
Associated Press Farm Editor.

AS5OClateo EreoA Earm 3olSoFs
With the strengthening in wheat and
the steady tone Of the corn market, 1t
Is quite probable that increased domes-
tic consumption might enhance values
of the yellow cereal. The chief draw
back seems 70 be the indisposition of
shippers to come into the market freely
on the contention that Eastern demand
Is very slow.
On March I the Government win Is
sue its report of the amount Of corn on
farms. The average March reserves for
the past eight years have been 80 per
cent Of the crop, which would make
them this year about 800, 0OO, 900 hu1h-
els, against an average OF lose, 900, 900
bushels. The disappearance up to
March has averaged 1897. 0O0, 900 during
the last eight years.
Should that amount have been used
this season there would have been left
only about 3s4, Zoo. 900 bushels on farms,
sensational figure.
Argentine Prices Raised.
Therefore, it Is dinicult to assume
even with heavy substitution and an
open Winter-that anything Ike nor.
NAL March reserves Of corn can be *.
pected, and it Is generally believed there
will be between $50, 0OO, 900 and 7OO,-
| OOO, 900 bushels; which y entirely M
adequate If importation Of foreign agri-
cultural commodities - prohibited.
Argentine shippers Of corn have raised
] their prices.
There has been q general demand
| from commission houses and shorts Tor
corn, and prices have risen about 4
cents from the seasons low. some
| traders feel 1t Is too early to follow
buIges In buying since renewed onex.
ings from terminal points ana Honns$
markets are In evidence On al 5000
rallies. Men in close touch with the
country situation say that an ordinary
advance VIII not materially enlarge
country sales, but that bulge Tor sew.
eral days might be reflected m large
Corn seems to have been thoroughly
| liuuidated and some traders feel advan-
| taee should be taken Of fair reactions
near the season when prices have good
advance. The only question Is whether
to follow the advances in view o. the
slow cash demand.
The best that can be said at present
Is that corn is following wheat and that
decidedly better buying Is appearing IN
corn.
Changes In News.
A gradual change In the character Of
news surrounding the wheat market Is
apparent. At the present time great
| deal Of the pessimlsm which prevailed
Of late seems to have vanished ana tne
| Shipments are being absorbed, together
with the Improvement In general D1si-
ness and the continued dry weather over
| the greater part Of the North American
| wheat belt, tends to create belief that
the lowest prices Of the season nave
been seen.
For q number Of days wheat prices In
Canada have been edging gradually up
ward and the threat Of that country De-
ing forced to sell at any figure buyers
cared to name has been eliminated -
q market influence.
DRY weather reports are taking on n
more serious tone from the Winter and
Spring wheat belts, but traders say that
good rains or SHOWS within the next
three or four weeks win do much to
eliminate the scare Of deteri0raSion.
However, short interests have been well
evened up and values largely win be
governed by weather Developments here
and the condition for foreign markets.
There are some who feel that new
crop wheat futures VIII work 70 some
| higher levels and believe that the Sep
/ te1uDeE pOSlbA0u WILL gam O4A tA1S SuAys
World import requirements are said -
have increased 100000 bushels--
largely in non-European countries
which might easily be supplied By Ar
| gentina and Australia. Recently Rus
| sian and Argentine shipments have In
creased and taken al the pep cut Of
the export market.
Buying I'm Canada.
There has been considerable buying
in the Canadian markets by specula-
tors as well as American Interests,
which carried prices up to the best
levels thus far. Increased prof1t-taking
developed and prospects of precipitation
in the Southwest halted the rally. Map
readers predict that the Springlike
weather over the Winter wheat belt
likely viii be broken soon and more
seaSonable conditions obtain. Winter
wheat is nearly all bare In the Pacific
| Northwest and Is making rapid growth,
with the subsequent fear that . sharp
drop In the temperature may tnjufe the
tender plants.
II