Texas Daily Ag Market News Summary 3/24/15

Posted 9 years 249 days ago by

· Feeder cattle mostly steady to $2 higher; futures higher.
· Fed cattle cash trade inactive; formula trades lower; futures higher; beef prices mixed.
· Cotton higher.
· Grains higher; soybeans higher.
· Crude oil higher; natural gas lower.
· Stock markets mostly lower.

Texas feeder cattle auctions quoted prices mostly steady to $2 higher. Feeder cattle futures were higher. The Texas fed cattle cash market had no reportable trade for Monday. Wholesale boxed beef values were mixed, with Choice Grade at $245.79 and Select Grade at $243.23. Estimated cattle harvest for the week totaled 107,000 head, down 3K from the previous week’s total and 9K from a year ago. Year-to-date harvest is down 7.8%. Fed cattle futures were higher.

Cotton prices were higher, with cash closing at 61.38 cents per pound and futures at 64.05 cents per pound. Corn and grain sorghum prices were higher, and soybean futures prices climbed $0.10 per bushel. Wheat prices were up $0.05 per bushel in both the cash and futures markets.

Stock markets were mostly lower, making Monday the third-lowest day, by volume of shares traded, this year. Crude oil prices rose $1.730 to close at $47.45. Saudi Arabia’s crude production is around 10 million barrels per day, (up 300,000 barrels per day compared to February) the Kingdom’s oil minister announced after U.S. markets closed yesterday.

From the Weekly Recap:

For the week ending March 21, 2015, Texas auctions quoted feeder cattle prices mostly steady, ranging from $2 to$10 higher per hundredweight (cwt). Texas weekly direct feeder cattle sales were mostly steady to $1 higher, with some earlier sales falling below that mark. Fed cattle weekly cash sales were $2 higher at $163 per cwt, but wholesale beef values were higher with Choice Grade gaining $0.39 to $244.51 per cwt and Select Grade falling $0.79 to $243.28. Net export sales for March 6-12 were down 4 percent from the prior four-week average. Export shipments were down four percent from the previous week.

Cotton cash prices were higher than the previous week, closing at 60.13 cents per pound. May futures prices rose 3.8 percent last week to settle at 62.82 cents per pound. The USDA NASS Texas field office reported that Texas had, for the reporting period of March8-15, 4.2 days suitable for fieldwork, with regards topsoil moisture conditions. Net export cotton sales were noticeably higher than both the previous week’s sales and the prior four-week average. Shipments were up 24 percent from the previous week and up 79 percent from the average.

Wheat cash and futures prices gained $0.31 and $0.28, respectively to close at $5.33 per bushel and $5.70 per bushel, respectively. The USDA NASS Texas field office reported progress in the winter wheat crop throughout the state. Eighty-nine percent of the Texas Winter Wheat crop remains in fair condition or better. Fifty-one percent of the wheat crop is in excellent or good condition. Net export sales for wheat were down 12 percent from last week, but up four percent from the prior four-week average. Shipments were 14 percent higher than the previous week and nine percent higher than the average.

Texas corn prices were higher with cash prices up to $4.08 per bushel and futures prices up to $3.85. The USDA NASS Texas field office reported that 11 percent of Texas corn acreage had been planted, up five percentage points from last week, but down three percentage points from the same period last year. Most of this progress came in South Texas due to wet conditions in much of the state. Corn export sales were up 20 percent from last week, but down 31 percent from the four-week average. Export shipments were 41 percent lower than last week and 33 percent lower than the average.

Decent precipitation was experienced within regions of Texas below the 32^nd parallel north, and north of the DFW area. Significant rains were seen in South Texas, east of I-35 and south of I-10. Last week’s U.S. Drought Monitor for Texas showed mixed news in drought conditions for the state with almost 57 percent of the state still in some stage of drought intensity, down 1.31 percentage points from last week. On the national level, drought conditions worsened slightly with about 54 percent of the U.S. experiencing abnormal dryness or some degree of drought, up 1.3 percentage points from last week.

Daily Market Summary Data for 3/24/2015

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