Texas Daily Ag Market News Summary 3/27/15

Posted 9 years 246 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 unchanged to lower.
·         Grains and soybeans mostly lower.
·         Crude oil higher; natural gas lower.
·         Stock markets mixed.

Texas feeder cattle auctions quoted prices steady to $10 higher. Feeder cattle futures were lower as heavy supply weighed on the minds of traders. The Texas fed cattle cash trade remained inactive. Wholesale boxed beef values were mixed. Estimated cattle harvest for the week totaled 419,000 head, down 11,000 from the previous week’s total and 51,000 from a year ago. Year-to-date harvest is down 10.9%. Fed cattle futures were lower, continuing Wednesday’s erosion of price gains made since Tuesday the 17^th. Net export sales for March 13-19 totaled 13,100 metric tons (MT), up 13% from last week, with Japan, South Korea, and Hong Kong as the top buyers. Export shipments of 12,500 MT, up three percent from last week, went primarily to Japan, Hong Kong, and South Korea.

Cotton cash prices were unchanged on Thursday while futures prices fell 0.08 cents. The Cotlook A Index reported world cotton prices were down 70 points early yesterday, settling at 69.95 cents per pound. Export cotton sales were 177,600 bales, 26% lower than last week with increased purchases for China, Turkey, and Mexico. Shipments of 290,300 bales were down two percent from last week, but unchanged from the prior four-week average. The primary destinations were China, Vietnam, and Turkey.

Corn and grain sorghum prices were lower despite the prospect of smaller supplies this fall. Corn export sales were 435,000 MT for the week, down 13% from last week and 29% from the previous 4-week average. Taiwan, Mexico, and Japan had increased purchases. Export shipments of 1,065,900 MT went mainly to Japan, Taiwan, and Mexico. This week’s shipments were 54% higher than last week’s and four percent higher than the average. Soybean futures prices were $0.04 lower as traders faced pressure from dollar strength and South American crop size. Soybean export sales were 505,800 MT, up 48% from the previous week and 54% from the prior four-week average. Indonesia, China, and Germany had increased purchases. Export Shipments of 760, 700 MT were up 19% from the previous week and one percent from the prior four-week average. The primary destinations were China, Indonesia, and Mexico.

Wheat prices followed other grains lower as wheat, too faced pressure from a strengthening dollar. Net export sales for wheat were 469,600 MT, up 43% from last week and 34% from the prior 4-week average. Increased sales were reported for Egypt, Mexico, and the Philippines. Shipments were 485,600 MT, 2% lower than the previous week, but 14% higher than the weekly average. The top destinations were Japan, Israel, and Yemen.

Stock markets were mixed at close yesterday with indices continuing to show points sliding down from heights at last week’s end. Crude oil prices were sharply higher, posting a $2.220 gain. Saudi Arabia and a Kingdom-led coalition of regional states, including Sudan and possibly Egypt, openly and directly intervened militarily in Yemen’s conflict. An estimated seven percent of global maritime oil trade passes through the Bab alMandeb Strait, a channel funneled by Eritrea and Djibouti on the west, and Yemen on the East.

Daily Market Summary Data for 3/27/2015

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