US Plains HRW Wheat-Basis bids steady in subdued trade

CHICAGO, Feb 28 (Reuters) - Spot basis bids for hard red winter wheat were mostly flat on Friday as dealers rolled their basis bids to the May contract while farmers hesitated to sell, dealers said.

Farmer selling was subdued as many producers have sold off the vast majority of their old-crop wheat and are reluctant to book sales for their new crop until they get a better sense of yield prospects.

Grain merchants continued to roll their basis bids to be tied to the K.C. May HRW futures contract KWK25 from the March contract KWH25 ahead of March futures' upcoming delivery period.

Some industry players have raised concerns about dry weather in the U.S. Plains just as the wheat crop exits dormancy.

Roughly 22% of winter wheat in the U.S. is in drought, according to the U.S. Department of Agriculture's drought monitor.

Protein premiums for HRW wheat shipped by rail to or through Kansas City were up for wheat with 12% to 12.8% protein content. KCBT/SCA

K.C. May hard red winter wheat futures KWK25 last traded down 12-1/4 cents to $5.73 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