Evening star., 1933-01-23
GRAINS DEPRESSED
| BY LACK OF BUYING.
Market Has Sold OFF, With
Traders Taking Profits
on BuIges.
BY the Associated Press.


Wheat prices have turned weak for
lack of speculative demand. Outside
interests were little hesitant to follow
recent advances, and as buying power
subsidized professional, pressure followed
by liquidation, set the market back
more than cent bushel
Although milling demand was gen.
orally Of sufficient volume to absorb
relatively light offerings domestic cash
prices declined with futures. No 2 hard
Winter, IL per cent protein, was quoted
at Kansas City at Aa43h cents .
bushel and at Chicago at 48, compared
with Haas cents and 40 cents, reSpec-
lively, at those markets a week ago.
The trade gave scant attention to the
White House announcement Of renewed
debt negotiations with Great Britain,
but was considerably interested in larger
takings of wheat by non-Euorpean
countries than estimated earlier. In
the "a weeks since August these coun-
tries have taken close to 67,000,00
bushels. Some estimate they will re-
quire 133,000,000 bushels more in the
next % weeks to 60. Australia alone
has provided 10000 bushels of the
67,0OO,000 and apparently Is reducing
her surplus at a rapid rate.
1t was considered a healthy condition
that great export surpluseS which have
hung over the market for years should
be disappearing in new markets at a
time crop prospects are not particularly
good in either this country or Cont
mental Europe. 1t is expected that the
world carryover next July will be some
what less than last year's-a reversal OF
the order which for the last several
years has seen each seasons carryoveI
consecutively larger. All Of this, to-
gether with the normal increase in hu-
man consumption, acts on the con-
Structive side.
Gradual recognition that the world
wheat picture is changing and that
prices are below the cost of production
in all of the leading countries while
Liverpool futures are cents below the
cost of the cheapest wheat which could
be delivered on contract was said to
have started the English market on
the upgrade.
For the moment, however, world
markets are paralyzed with huge ship
ments, this weeks totaling 1900, ,00C
bushels. Harvesting in the Southern
Hemisphere is near completion and
marketings have increased. Australian
shipments for the week totaled 6,403,-
600 bushels and Argentina exported
4.280 900 bushels
The low exchange value OF Australian
currency. the high quality Of the new
wheat and governmental aid in lower
ing production and marketing costs
place Australia in particularly favor
able competitive position in world
markets Exemption from the British
tariff duty of 4ls cents bushel is an
additional favorable influence The
fact that South African and New Zea-
land pounds are linked with the Eng
lish pound gives those countries an ad-
vantage in British markets.
Although crop scares are not gen.
orally important until March, some
bullishly inclined have their eyes or
the prospective 1888 Winter wheat
yield. 1t is felt that the Southwestern
moisture situation will command in
creasing attention from now on There
has been further deterioration, particu.
larlv in Western Kansas.
Sharply increased offerings of corr
tended to weaken the market for tina,
grain but current shipments wers
readily taken and prices did not de-
cline greatly Primary receipts for the
week totaled more than 1000, 00(
bushels. compared with 3,500,000 last
week. Corn is selling far below cos,
of production and one Chicago trader
was quoted as saying the feed grair
was in position to advance 10 cent.
bushel with a very moderate volume
of trading.