Agriculture Market Recap for 01/04/11

For the week ending Jan. 1, feeder cattle auction prices are not available as all locations covered by Market News were closed for the holidays. The fed cattle market was sharply higher following increases in wholesale beef prices and as processors rebuild post-holiday supplies. Cotton prices were sharply lower after China raised interest rates and set a lower cotton import quota for 2011. Corn and grain sorghum were higher amid ongoing concerns that dry weather in South America will reduce already tight global supplies. Wheat was higher because of the continued dry weather in the major growing areas of the U.S. Central Plains. As for futures markets, feeder cattle, fed cattle, wheat and corn were higher while cotton and lumber were lower. Much of the state north and east of a line from Odessa to Corpus Christi recorded precipitation during the week with the heaviest amounts reported along the Gulf Coast and in northeast Texas. Crop progress and condition information are not available as USDA suspended its weekly report until next week.

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All cash prices above are market averages for locations covered by the TDA Market News program and do not reflect any particular sale at any specific location. Feeder cattle prices are for 500-600 pound medium and large No.1 steers. Futures prices are quoted for the nearest month contract on the last trading day of the week. For additional information, contact TDA Market News at (800) 252-3407 or visit our website, www.tdamarketnews.com.