Texas Daily Ag Market News Summary 6/09/15

Posted 9 years 172 days ago by

Feeder cattle mostly steady to $2 higher, with instances of $4 to $7 higher; futures higher.
Fed cattle cash trade inactive; formula trades lower; futures higher; beef prices lower.
Cotton higher.
Grains higher; soybeans higher.
Crude oil lower; natural gas higher.
Stock markets lower.

Texas feeder cattle auctions quoted prices mostly steady to $2 higher, with instances of $4 to $7 higher. Feeder cattle futures settled $0.95 higher to close at $222.85 per hundredweight (cwt). The Texas fed cattle cash market was inactive Monday. Wholesale boxed beef values were lower, with Choice Grade settling at $244.11 per cwt and Select Grade at $236.31 per cwt. Estimated cattle harvest for the week totaled 112,000 head, down 2,000 from last week’s total and on par with one year ago. Fed cattle futures were $0.65 higher, closing at $153.48 per cwt.

Cotton prices were higher, with cash up 0.75 cents and futures 0.79 cents, to settle at 63.13 cents per pound and 64.80 cents per pound, respectively. For the reporting period of June 1-7, the USDA NASS Texas field office indicated that row crops across the state continued to progress as planting resumed in many areas. Seventy-five percent of cotton acreage has been planted, up 29 percentage points from the previous week, but down seven percentage points from last year.

Corn and grain sorghum prices were mostly higher, with corn cash prices steady and futures gaining $0.04. Grain sorghum cash prices rose $0.09 to close at $6.89 per cwt. Soybean futures prices were $0.06 higher. Of the 93 percent of corn acreage that has been planted, 88 percent has emerged, 12 percentage points below the same time last year.

Wheat cash prices settled $0.09 higher and futures prices settled $0.10 higher to close at $4.99 per bushel and $5.45 per bushel, respectively. One hundred percent of the Texas wheat crop is in the heading stage, with 50% of wheat acreage in Good to Excellent condition.

Stock markets closed lower yesterday, with technology stocks leading the downward trend. Crude oil prices fell $0.990 to close at $58.14 per barrel, sustaining loses as looming concerns about high U.S. production remain on the minds of investors.

From the Weekly Recap:
AUSTIN – (June 8, 2015) For the week ending June 6, 2015, Texas auctions quoted feeder cattle prices mostly steady, with instances of sales ranging from $2 lower to $10 higher per hundredweight (cwt). Texas weekly direct feeder cattle sales were mostly steady to $2 higher, with instances of $4 to $7 higher. Wholesale beef values were lower, with Choice Grade losing $10.34 to close at $244.65 per cwt and Select Grade losing $6.26 to close at $237.57 per cwt. Net export sales for May 22-28 were down 44 percent from the previous week. Export shipments were up seven percent from the previous week, and shipments primarily went to Japan, Hong Kong and South Korea.

Cotton cash prices were on par with the previous week and closed at 62.38 cents per pound. July futures prices settled at 64.01 cents per pound, 0.32 cents lower than last week. For the reporting period of May 25-31, the USDA NASS Texas field office noted that cotton planting was at 46 percent, which is 14 points behind the normal amount. This is due in part to the continued rainfall our state has received. Net export cotton sales were down nine percent from the previous week’s sales. Shipments were down 11 percent from the previous week and 10 percent from the average.

Wheat cash prices gained 25 cents to settle at $4.90 per bushel. Futures prices also gained 25 cents to settle at $5.35 per bushel. The USDA NASS Texas field office reported that 99 percent of the Texas wheat crop is in the heading stage, with 51 percent of the acreage in good-to-excellent condition. Eighty-three percent of the Texas Winter Wheat crop remains in fair-to-excellent condition. Net export sales for wheat were 364,000 MT. Shipments were 18 percent lower than the previous week but 12 percent higher than the average.

Texas corn prices were higher, with cash prices up to $3.90 per bushel and futures prices up to $3.61 per bushel. The USDA NASS Texas field office reported 78 percent of the planted Texas corn crop has emerged, which is 20 percentage points below this same point last year. Eighty-three percent of Texas corn acreage had been planted, which is up six percentage points from last week but down 17 percentage points from the same period last year. Corn export sales were down 29 percent from the previous week and 31 percent from the four-week average. Export shipments were 11 percent lower than the previous week and 13 percent lower than the average.

According to USDA NASS, most areas of the state, with the exception of far West Texas and a few scattered areas of the High Plains, recorded rainfall amounts from half an inch up to six inches. Last week’s U.S. Drought Monitor for Texas showed a significant improvement in drought conditions for the state, with only about nine percent of Texas still experiencing some stage of drought intensity. Additionally, none of the state remains in severe, extreme or exceptional drought. On the national level, drought conditions improved slightly with 43 percent of the U.S. experiencing abnormal dryness or some degree of drought.

Additional information on agricultural weather, crop progress and agricultural markets can be found on the TDA Market News page.

Daily Market Summary Data for 6/09/2015

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