US Plains HRW Wheat-Basis steady; cash trade subdued

CHICAGO, May 4 (Reuters) - Basis bids for hard red winter wheat held steady in the southern U.S. Plains on Monday and farmer selling remained thin as producers awaited more information on yield prospects, with harvest still at least a month away.

• Drought remained a top concern. Isolated showers were expected through Monday evening in parts of western Kansas, and some forecasts called for more beneficial rain in the region through midweek.

• However, "more will be needed to end dryness in the central and southwestern Plains," forecaster Vaisala said in a client note.

• The U.S. Department of Agriculture on Monday rated 31% of the nation's winter wheat crop in good to excellent condition, up from 30% a week earlier, while analysts surveyed by Reuters on average had expected no change.

• By state, the USDA rated 22% of the wheat in top producer Kansas as good-to-excellent, down 1 percentage point from last week. Weekly ratings also declined in Nebraska, Colorado and South Dakota.

• But ratings improved by 2 percentage points in Oklahoma, with 16% of the crop rated good-to-excellent, and by 4 points in Texas, with 16% of the wheat rated good-to-excellent.

• Protein premiums for railcar HRW wheat to and through Kansas City were unchanged. KCBT/SCA

• Benchmark K.C. July wheat KWN26 futures settled unchanged on the day at $6.94-1/2 a 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 = Spot 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. FOB Gulf Grain GRA/F