Texas Daily Ag Market Summary 3/4/15

Posted 9 years 269 days ago by

· Feeder cattle steady to $10 higher; futures lower.
· Fed cattle cash trade inactive; formula trades higher; futures lower; beef prices mixed.
· Cotton lower.
· Grains and soybeans mostly higher.
· Crude oil higher; natural gas lower.
· Stock markets mostly lower.

Texas feeder cattle auctions quoted prices steady to $10 higher, with multiple locations closed due to inclement weather. Feeder cattle futures were lower, reversing Monday’s strong gains. The Texas fed cattle cash trade remained inactive on Tuesday. Wholesale boxed beef values were mixed. Estimated cattle harvest to date this week totaled 218,000 head, 10,000 higher than last week, but down 8,000 from a year ago. Year-to-date harvest is down 3.5%. Fed cattle futures were sharply lower with losses driven by long liquidation, profit-taking, and outside markets.

Cotton prices were lower on Tuesday, closing at an 11-session low. According to Cotton Outlook, Indian cotton has recently been selling steadily on the export front, but there is concern that the size of India’s unsold cotton stocks may present a bearish influence on world prices over the long term. The International Cotton Advisory Council raised estimated inventories globally for the 2015/16 crop year to 21.41 million tons.

Corn and grain sorghum prices were mixed. Ethanol futures’ three-day rise showed slight support for producer margins. Soybean prices slipped slightly lower as the trucker strike in Brazil appears to be winding down.

Wheat prices were slightly higher as fundamentals remain weak but technical buying continues to hold July wheat above $5. As spring approaches, traders are preparing for discussions on crop conditions in the U.S. and Black Sea areas.

Stock markets were mostly lower with traders citing Monday’s tremendous gains as a precursor to yesterday’s pullback. Crude oil prices rose 93 cents to $50.52, settling above $50 per barrel for the first time since markets closed last Wednesday. Energy stocks followed oil’s lead to be among yesterday’s best performers.

Daily Market Summary Data for 3/4/2015

If you are interested in receiving this daily report, please subscribe here.