Texas Daily Ag Market Summary 1/14/15

Posted 9 years 318 days ago by

· Feeder cattle steady; futures lower.
· Fed cattle cash trade inactive; formula trades higher; futures sharply lower; beef prices higher.
· Cotton higher.
· Grains and soybeans lower.
· Crude oil lower; natural gas higher.
· Stock markets slightly lower.

Texas feeder cattle auctions quoted prices steady, though national feeder market auctions are quoting prices $5 to $10 lower due to the declines in the futures markets. Feeder cattle futures were lower with very limited trade as the market awaits the USDA inventory report later this month. The Texas fed cattle cash market had no reportable trade. Wholesale boxed beef values were higher. Estimated cattle harvest for through Tuesday totaled 222,000 head, up 4K from the previous week’s total, but down 18K from a year ago. Year-to-date harvest is down 7.5%. Fed cattle futures were sharply lower because of slow buying in the cash market, despite strong beef prices and consumer demand.

Cotton cash and futures prices were the only row crop to close higher yesterday. Crop estimate for the Texas High Plains rose slightly from a month ago even as the harvested acreage declined.

Corn and grain sorghum prices were lower as traders continue to be disappointed in the export numbers and worry how declining oil prices will affect biofuel demand. Favorable weather conditions in South America also attributed to corn’s lowest close in five weeks. Soybean meal dipped below $350 per ton since October.

Wheat prices were also lower with continued bearish global concerns and weak U.S. exports. Any potential damage to the winter wheat won’t be known until the spring.

Stock markets were slightly lower following their largest intraday swing since October with new concerns about Europe’s economy and the European Central Bank’s potential stimulus policy.

Disclaimer: The information compiled in the Daily Market Summary is obtained from a variety of sources, including those available on the Internet, that are believed to be reliable and accurate, but are in no way guaranteed. This information is intended to provide only a summary of market trends and a daily snapshot of agricultural markets and economic indicators. It should not be relied upon as a sole source of market information. Commentary is the author’s alone and does not in any way convey official TDA policies.