US Plains HRW Wheat-Basis bids hold mostly steady as futures retreat

CHICAGO, Feb 20 (Reuters) - Hard red winter wheat spot basis bids held mostly steady around the U.S. Plains on Thursday as futures prices declined but demand for the grain remained light, merchants said.

Farmers have already sold a significant share of the crop they harvested last year. Many are expected to hold off on locking in more sales of the upcoming harvest until they have more clarity on yield prospects, grain merchants said.

A harsh cold snap that threatened the dormant wheat crop this week is expected to break by the weekend, according to forecasters. The frigid conditions had raised the risk of freeze damage or winterkill in fields that lack snow cover.

The U.S. Department of Agriculture is due to release weekly export sales data early on Friday. Analysts polled by Reuters expect all U.S. wheat sales last week between 300,000 and 650,000 metric tons.

Hard red winter wheat futures retreated for a second straight session on Thursday after hitting a four-month high at the start of the week. K.C. March hard red winter wheat KWH25 last traded 6 cents lower at $6.07-3/4 per bushel.

Basis values are quoted against futures in cts/bu:

NOTES:

H = March, K = May, N = July, U = September

Z = December; UNQ = Unquoted bids

0 = Sp Option price; NC = No comparison

= No. 1 12% hard winter wheat, rail bids

= Ordinary protein, rail bids

LINKS:

K.C. HRW wheat protein scales KCBT/SCA

U.S. weekly wheat crop progress US/WHE

U.S. forward basis WHEAT/BASIS

U.S. Midwest cash grain PM GRA/PM

U.S. CIF Gulf Grain GRA/C

U.S. FOB Gulf Grain GRA/F