Agriculture Market Summary for June 12, 2012

For the week ending June 9, feeder cattle prices at the Texas auctions covered by USDA Market News were mostly steady to $3 higher per hundredweight (cwt). The Texas direct feeder cattle trade was steady to $3 higher. The Oklahoma City auction was mostly steady. Fed cattle cash prices were nearly $1 higher compared to the previous week, while beef prices were lower with Select-grade offerings posting the most decline. Cotton prices pushed higher at the end of the week as a weaker dollar and supportive export sales offset improved prospects for the U.S. crop and ample world supplies. Corn and grain sorghum were higher amid concerns that hot, dry weather in the Midwest might hurt this year’s crop. Wheat prices followed other grains higher, but gains were limited by increasing harvest-time supplies of hard red winter wheat. As for futures markets, feeder cattle, fed cattle, cotton, wheat, corn and lumber were higher. South Texas and much of the state north of a line from Corpus Christi to Odessa recorded precipitation during the week, with some locally heavy totals in excess of three inches. The weekly USDA NASS crop progress and condition report showed corn planting nearing completion with 95 percent of the acreage emerged, slightly behind the average for this date. Condition was rated mostly good to fair. Grain sorghum was 92 percent planted and 59 percent headed, both well ahead of normal, with the crop in mostly good to fair condition. The state’s wheat crop was 50 percent harvested, much above the 30 percent average for this date. The crop was rated in mostly good to poor condition. Cotton planting was 95 percent complete and 14 percent of the crop is squaring, both ahead of normal. The state’s cotton acreage was rated in mostly fair to good condition. Pastures improved in areas that received rain, though the moisture also boosted weed and brush growth. Pastures were rated mostly good to poor statewide with supplemental feed still needed in some areas.

All cash prices above are market averages for locations covered by the USDA 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 at the Oklahoma City National Stockyards. Futures prices are quoted for the nearest month contract on the last trading day of the week. For additional information, contact TDA at (800) 835-5832 or visit our website, http://www.texasagriculture.gov/.