Agriculture Market Summary September 18, 2012

For the week ending Sept. 15, 2012, feeder cattle prices reported by Texas auctions ranged from $5 lower to $8 higher per hundredweight (cwt) depending on location and how well their offerings matched buyers’ requirements. Texas direct feeder cattle sales were steady to $3 higher. The Oklahoma City National Stockyards were steady to $2 higher. The feeder cattle situation remains unchanged with tight supplies offset by high grain prices and poor cattle feeding margins. Fed cattle cash prices were $2 to $3 higher and wholesale beef prices were nearly unchanged. Cotton and grain prices received a boost late in the week after the U.S. Federal Reserve Board announced additional economic stimulus measures. However, cotton still finished the week lower because of large world supplies and the sale of Chinese reserves. Corn and grain sorghum prices finished modestly lower as increasing harvest-time supplies and weak export demand offset forecasts for lower U.S. production and unfavorable weather in South America. Wheat prices also benefited from prospects for lower production in Russia and dry weather in Australia. As for futures markets, feeder cattle, fed cattle, wheat and lumber were higher while cotton and corn were lower. Rain fell statewide during the week with the heaviest amounts reported in Central and East Texas. According to the weekly USDA NASS crop progress report, the crop condition indexes for cotton, peanuts, soybeans and pastures improved from a week earlier while corn, rice and grain sorghum remained unchanged. Cotton harvest advanced to 10 percent complete, but was slightly behind the 13 percent average for this date. Bolls have opened on 50 percent of the acreage, well ahead of normal. Corn was 86 percent mature and 68 percent harvested, both higher than the average. Grain sorghum harvest was slightly behind normal at 60 percent complete. Rice harvest was 95 percent complete compared to 94 percent on average. Pastures improved with the recent rainfall, with 17 percent of the acreage rated in good to excellent condition compared to 12 percent last week. The area rated poor to very poor declined from 58 percent to 52 percent. Thirty-one percent was rated in fair condition compared to 30 percent a week ago.

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, www.TexasAgriculture.gov. 

Agriculture Market Summary Srpt. 11, 2012

For the week ending Sept. 8, 2012, feeder cattle prices at Texas auctions were mostly steady to $4 higher per hundredweight (cwt) with a few as much as $10 higher, but some $6 lower on at least a portion of their offerings. Texas direct feeder cattle sales were mostly steady. The Oklahoma City National Stockyards were closed for the Labor Day holiday. The feeder cattle situation remains unchanged with tight supplies offset by high grain prices and negative cattle feeding margins. The fed cattle cash trade was $1 higher in very light trade and wholesale beef prices were $1 to $2 higher. Cotton prices were lower after China auctioned some of its cotton reserves and reports indicated that Hurricane Isaac did not damage the cotton crop as much as expected. Wheat prices increased on prospects for increased U.S. exports. Corn and grain sorghum prices were lower due to increasing harvest-time supplies, weak export demand and competition from cheaper South American corn. As for futures markets, fed cattle and wheat were higher, but feeder cattle, cotton, corn and lumber were lower. Parts of South Texas, West Texas and the Panhandle recorded an inch or more of rain during the week while little or no rainfall was reported elsewhere in the state. According to the weekly USDA NASS crop progress report, the crop condition indexes for cotton, peanuts and soybeans declined from a week earlier, while corn, rice and grain sorghum remained unchanged. For cotton, 98 percent of the acreage is setting bolls or beyond, and bolls are opening on 42 percent, both ahead of normal. Nine percent of the crop has been harvested. Corn was 74 percent mature and 62 percent harvested, both higher than the average for this date. Grain sorghum harvest was slightly behind normal at 59 percent complete. Rice harvest was 90 percent complete compared to 92 percent on average. Pasture conditions deteriorated with 12 percent of the acreage rated in good to excellent condition, down from 17 percent last week while the area rated poor to very poor increased from 52 percent to 58 percent; and 30 percent was rated in fair condition.

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, www.TexasAgriculture.gov.

Agriculture Market Summary Sept. 5, 2012

For the week ending Sept. 1, 2012, feeder cattle prices at Texas auctions were mostly steady to $4 higher per hundredweight (cwt) to $10 higher, with a few to $3 lower and some as much as $8 higher. One location noted that prices on replacement heifers were $10 to $20 higher. Texas direct feeder cattle sales were steady to $2 higher and at the Oklahoma City National Stockyards feeder cattle were steady to $5 higher. Tight feeder supplies and prospects they will get even tighter this fall continue to support higher prices while variable quality and high grain prices limited gains. The fed cattle cash trade was $2 to $3 higher, but wholesale beef prices were lower. Cotton prices were higher amid concerns that Hurricane Isaac would damage cotton that was nearing harvest. Wheat prices increased at midweek on rumors that Russia might limit exports, but then retreated after Russian agencies decided that restrictions are not needed at this time. Corn and grain sorghum prices were lower mostly due to weak export demand. As for futures markets, feeder cattle, cotton, wheat and corn were higher, but fed cattle and lumber were lower. A few locations along the coast and in East Texas recorded an inch or more of rain during the week while little or no rainfall was reported elsewhere in the state. According to the weekly USDA NASS crop progress report, the crop condition indexes for cotton, corn, peanuts, rice and grain sorghum remained unchanged from a week earlier. For cotton, 97 percent of the acreage is setting bolls or beyond, and bolls are opening on 31 percent, both well ahead of normal. Eight percent of the crop has been harvested. Corn was 73 percent mature and 61 percent harvested, both higher than the average for this date. Grain sorghum was 72 percent mature and 58 percent harvested, also ahead of the normal pace. Rice harvest was 80 percent complete compared to 84 percent on average. Pasture conditions were near unchanged 17 percent of the acreage rated in good to excellent condition; 52 percent was rated poor to very poor; and 31 percent was rated in fair condition.

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, www.TexasAgriculture.gov.