Texas Daily Ag Market News Summary 06/01/16

Posted 8 years 179 days ago by

Feeder cattle auctions reported prices steady to $7 higher; Futures lower.

Fed cattle cash trade inactive; Formula trades active; Futures higher; Beef prices mixed.

Cotton lower.

Grains and Soybeans higher.

Milk futures steady.

Crude oil lower; Natural gas higher.

Stock markets higher.

Texas feeder cattle auctions reported prices steady to $7 higher, with one instance of $3 to $6 lower. Feeder cattle futures were $0.68 lower, closing at $146.42 per hundredweight (cwt). The Texas fed cattle cash trade was inactive today. Whole sale boxed beef values were mixed with choice grade gaining $1.01 to close at $222.35 per cwt and select grade losing $0.20 to close at $201.17 per cwt. Fed cattle futures were $0.32 higher, closing at $121.42 per cwt. Estimated cattle harvest for the week totaled 227,000 head down 107,000 from last week’s total and 110,000 from last year’s total. Year-to-date harvest is down 48%.

Cotton prices were lower with cash prices losing 1.25 cents to close at 59.62 cents per pound and July futures losing 0.77 cents to close at 63.17 cents per pound.

Corn prices were higher with cash and futures prices both gaining $0.09 to close at $4.09 per bushel and $4.14 per bushel, respectively. Grain Sorghum cash prices gaining $0.16 to close at $6.24 per cwt.

Wheat prices were higher with cash and futures prices both gaining $0.09 to close at $3.73 per bushel and $4.45 per bushel, respectively.

Milk prices were steady with May Class III Milk futures remaining at $12.80 per cwt.

Stock Markets were higher today, brought about by gains in consumer staples and health-care shares. Crude oil prices were lower, with July crude oil futures losing $0.09 to close at $49.01 per barrel.

Daily Market Summary Data 06/01/16

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From Weekly Recap:

AUSTIN – (May 31, 2016) For the week ending May 27, 2016, Texas feeder cattle auctions reported prices steady to $10 lower. Texas Weekly Direct reported prices $2 to $7 lower. Wholesale Beef values were lower, with Choice Grade losing $2.25 to close at $222.07 per hundredweight (cwt) and Select Grade losing $5.58 to close at $201.57 per cwt. For the time period of May 16-22, the USDA NASS Field Office reported that range and pasture conditions continued to progress and provide adequate feed, as livestock conditions continued to improve across the state. Some pasture saturation was experienced in areas of the Edwards Plateau. For the time period of May 13-19, exporters reported beef net sales of 10,000 metric tons (MT) for 2016, which were down 49 percent from the previous week and 34 percent from the prior four-week average. Increases were reported for Japan, South Korea and Hong Kong. Exports totaled 13,000 MT, which were down three percent from the previous week but up five percent from the prior four-week average. The primary destinations were Japan, South Korea and Mexico.

Cotton prices were higher at the end of last week, with cash prices gaining 3.00 cents to close at 61.37 cents per pound and July futures prices gaining 2.83 cents to close at 64.28 cents per pound. The USDA NASS Field Office reported that cold, wet conditions have delayed cotton planting in areas of the Low Plains and Edwards Plateau. Cotton planting was active in areas in areas of the Cross Timbers, Blacklands, the Northeast and the Edwards Plateau. Net upland sales totaled 128,500 round bales (RB) for 2015-2016, which were down 32 percent from the previous week but up 28 percent from the prior four-week average. Increases were reported for Vietnam, China and Turkey. Exports totaled 236,500 RB, which were up two percent from the previous week and from the prior four-week average. The primary destinations were Vietnam, Turkey and China.

Wheat prices were higher at the end of last week, with cash prices gaining $0.15 to close at $3.79 per bushel and July futures prices gaining $0.13 to close at $4.60 per bushel. The USDA NASS Field Office reported that Winter Wheat and oats continued to progress. However, wet conditions across many areas of the state have delayed harvest. Areas of Northern Low Plains and Edwards Plateau experienced crop damage due to hail. Problems with rust were reported in some areas. Some producers in the Northern Plains began harvesting silage and bailing dry land wheat acreage. For 2016-2017, net sales totaled 354,500 MT and were reported primarily for the Philippines, Japan and Peru. Exports totaled 285,100 MT, which were down 25 percent from the previous week and 31 percent from the prior four-week average. The primary destinations were Indonesia, Mexico and Japan.

Corn prices were higher at the end of last week, with cash prices gaining $0.10 to close at $4.04 per bushel and July futures gaining $0.15 to close at $3.13 per bushel. The USDA NASS Field Office reported that early planted corn was active throughout the state. In areas of the Blacklands, sorghum fields benefited from recent rainfall. Net sales totaled 1,381,100 MT for 2015-2016, which were down six percent from the previous week but unchanged from the prior four-week average. Increases were reported for Japan, South Korea and Colombia. Exports totaled 1,125,000 MT, which were down four percent from the previous week and three percent from the prior four-week average. The primary destinations were Mexico, Japan and Colombia. Grain sorghum cash prices were higher and the end of last week, with cash prices gaining $0.18 to close at $6.15 per cwt.

Milk prices were lower at the close of last week, with May Class III milk futures losing $0.02 to close at $12.80 per cwt.

This week’s U.S. Drought Monitor for Texas showed a slight worsening in drought conditions for the state, with 2.70 percent of Texas still in 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 29.87 percent of the U.S. experiencing abnormal dryness or some degree of drought.