Texas Daily Ag Market News Summary 9/24/15

Posted 9 years 66 days ago by

Feeder cattle auctions quoted prices $5 to $12 lower; futures lower.

Fed cattle cash trade inactive; formula trades lower; futures lower; beef prices lower.

Cotton higher.

Grains lower; soybeans higher

Crude oil higher; natural gas higher.

Stock markets lower.

Texas feeder cattle auctions quoted prices $5 to $12 lower. Feeder cattle futures were $0.73 lower, closing at $194.22 per hundredweight (cwt). The Texas fed cattle cash trade was inactive yesterday. Wholesale boxed beef values were lower, with Choice grade losing $3.04 and Select grade losing $1.89 settling at $214.85 and $211.62 per cwt, respectively. Estimated cattle harvest for the week totaled 449,000 head, on par with last week’s total and down 2,000 from a year ago. Year-to-date harvest is down .4%. Fed cattle futures were $2.52 lower, closing at $130.70 per cwt.

Cotton prices were higher with cash prices gaining 0.25 cents and futures prices gaining 0.34 cents settling at 58.37 and 59.04 cents per pound, respectively.

Corn and grain sorghum prices were lower, with corn cash and futures prices both losing $0.01 settling at $3.92 and $3.82 per bushel, respectively. Grain sorghum prices lost $0.03 to settle at $6.01 per cwt.

Wheat cash and futures prices were lower with both losing $0.12 to settle at $4.08 per bushel and $4.90 per bushel, respectively.

Stock markets closed lower yesterday, as concerns about global growth continue to linger on the market. Crude oil prices closed $0.43 higher yesterday settling at $44.91 per barrel.

This week’s U.S. Drought Monitor for Texas showed worsening drought conditions for the state, with 59.73% of Texas in some stage of drought intensity, up 8.5 percentage points from last week. Additionally, 14.04% of the state remains in severe, extreme, or exceptional drought, up 3.58 percentage points from last week. On the national level, drought conditions worsened, with 54.81% of the U.S. experiencing abnormal dryness or some degree of drought, up 3.26 percentage points from last week.

DailyMarket Summary Data 9/24/15

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From Agri-Pulse:

DES MOINES, IOWA - Sept. 24, 2015 - Buyers from China agreed to buy $5.3 billion worth of U.S. soy, totaling more than 484 million bushels of U.S. soybeans, during a signing ceremony today hosted by the U.S. Soybean Export Council (USSEC).

“Anytime an agreement like this is made, it is great for U.S. soybean farmers,” says Laura Foell, U.S. Soybean Export Council chair and a soybean farmer from Iowa. “Our international customers demand a product that is sustainable and high quality, and that's what U.S. soybean farmers continue to deliver.”

In the most recent marketing year, U.S. soybean farmers exported almost 2 billion bushels of soy to international customers. The value of these exports set a record of more than $30 billion. China alone imports approximately 25 percent of all U.S. soy. The country was the No. 1 buyer of whole U.S. soybeans in the 2013/14 marketing year and the second-biggest buyer of U.S. soybean oil.

“This is a great example of how our farmer-leaders' work of establishing relationships in China are paying off,” Foell says. “We must continue this work with China and other countries since exports are so important to the U.S. soy industry.”

Similar signing ceremonies in the past resulted in purchases of $2.3 billion worth of U.S. soy in 2014 and $2.8 billion worth of U.S. soy in 2013.

Earlier today, USDA's Foreign Agricultural Service reported export sales of 313,000 metric tons of soybeans for delivery to unknown destinations for the 2015/2016 marketing year which began Sept.1.

The purchase coincides with Chinese President Xi Jinping's visit to the U.S. After visiting with corporate leaders in the state of Washington over the last two days, he is scheduled to arrive Thursday afternoon in Washington, D. C. President Obama and first lady Michelle Obama will welcome Xi and his wife at the White House for an official state visit on Friday.