Texas Agricutlural Market Summary, Jan. 27, 2014

For the week ending Jan. 25, 2014, Texas feeder cattle auctions reported prices $6 lower to $5 higher per hundredweight (cwt). Texas direct feeder cattle prices were steady to $2 higher. Fed cattle cash prices set another record-high last week, averaging $147.12 per cwt, up $5 from the previous week. Wholesale beef values also established new record-highs on Wednesday, with Choice-grade offerings topping $240 per cwt for the first time. Beef prices then slipped lower through the end of the week as buyers caught up on their purchases. Prices across the cattle-beef complex remain at historically high levels as tight supplies continue to support the market. Weekly beef export sales were down nine percent from the previous week, but nearly four times higher than the prior four-week average. Shipments were up one percent for the week and even with the average.


Cotton prices were lower for the week, mostly because of concerns about the Chinese economy and a sharp drop Friday in U.S. stock markets and in spite of strong weekly export data. Weekly cotton export sales were the highest so far this marketing year, coming in at more than double the previous week and more than three times higher than the prior four-week average. China, Vietnam and Indonesia were the largest buyers. Shipments were up nine percent from the previous week and 29 percent higher than the average.

Corn and grain sorghum prices were higher primarily due to support from higher soybean and energy markets. Corn export news was mixed. Weekly export sales were down 16 percent from the previous week, but up six percent from the prior four-week average. Egypt, Taiwan, Japan and Mexico were the top buyers. Shipments were up 19 percent from a week ago, but down eight percent from the average. Mexico and Japan were the leading destinations.

Wheat prices followed other grains and soybeans higher, though gains were limited by large world supplies that continue to pressure the market. Weekly export data were mixed. Wheat sales were up 32 percent from the previous week and 34 percent higher than the prior four-week average. Brazil, Japan and Nigeria were the leading buyers. However, shipments were down 28 percent from a week earlier and four percent lower than the average. Nigeria, China and Indonesia were the largest destinations.

Much of the state south of Interstate 20 recorded precipitation during the week, but totals of one-half inch or more were limited to parts of East Texas. Last week’s U.S. Drought Monitor showed another small deterioration in conditions in Texas, with the area of the state rated as abnormally dry or in drought up three points to 77 percent. The areas rated abnormally dry and in moderate drought increased, while other drought categories remained unchanged. Areas east of I-35 and north of I-10 along with sections of West and South Texas remain free of drought. Nationally, 53 percent of the contiguous states were reported in some degree of abnormal dryness or drought, up slightly from a week ago. Additional information on agricultural weather, crop progress and agricultural markets can be found on the TDA Market News page.

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 Texas direct sales of 650-850 pound medium and large No.1 steers for current delivery. Futures prices are quoted for the nearest month contract on the last trading day of the week. Timber prices are from the Texas A&M Forest Service, bimonthly “Texas Timber Price Trends.” MBF = thousand board feet. For additional information, contact TDA at (800) 835-5832 or visit our website, www.TexasAgriculture.gov.

Texas Agricultural Market Summary, Jan. 22, 2014

For the week ending Jan. 18, 2014, Texas feeder cattle auctions reported prices mostly steady to $6 higher per hundredweight (cwt). However, a few locations also noted prices $4 lower on a portion of their offerings, and some were as much as $15 higher. Texas direct feeder cattle prices were mostly steady. Market fundamentals remain bullish as tight supplies, record high fed cattle prices and grain prices much lower than they were at this time last year continue to support feeder prices. Fed cattle cash prices set another record-high last week, averaging $141.93 per cwt, up $3 from the previous week. Wholesale beef values also established new record-highs, with Choice-grade offerings passing $230 per cwt for the first time. Weekly beef export sales totaled 15,800 metric tons, nearly three times higher than the previous week. South Korea, Hong Kong and Mexico were the leading buyers.

Cotton prices were higher due to strong weekly export data and news that China’s cotton imports during December were 14 percent higher than a year ago. In addition, news that several major exporters to China were fined for not reporting their sales was supportive, as it means that sales were even better than indicated. Reports also noted that Chinese yarn and textile mills continue to open subsidiaries in Vietnam, where they are not subject to import quotas or forced to buy inferior-quality domestic cotton. Cotton export sales for the week were more than triple the previous week and 46 percent higher than the prior four-week average. Vietnam, Indonesia and China were the top buyers.

Corn and grain sorghum prices were lower after smaller than expected export inspections early in the week raised concerns about demand for the record-large corn crop. Weekly export sales data later in the week were more supportive, totaling 821,000 metric tons. This is more than five times higher than the previous week and up 26 percent from the prior four-week average. Egypt, Japan and Mexico were the primary buyers. Shipments were up from the previous week, but lower than the average.

Wheat prices were lower as large world supplies continue to pressure the market. Higher export inspections were supportive early in the week. However, prices later followed corn downward, as export sales came in higher than the previous week, but well below the prior four week average.

Very little precipitation fell anywhere in the state last week with totals of one-quarter of an inch or less reported in scattered locations, mostly in East Texas. Last week’s U.S. Drought Monitor showed a small deterioration in conditions in Texas, with the overall area of the state rated as abnormally dry or in drought up two points to 74 percent. The areas rated abnormally dry and in extreme drought increased, while other drought categories declined. Areas east of I-35 and north of I-10 along with sections of West and South Texas remain free of drought. Additional information on agricultural weather, crop progress and agricultural markets can be found on the TDA Market News page.

                       













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 Texas direct sales of 650-850 pound medium and large No.1 steers for current delivery. Futures prices are quoted for the nearest month contract on the last trading day of the week. Timber prices are from the Texas A&M Forest Service, bimonthly “Texas Timber Price Trends.” MBF = thousand board feet. For additional information, contact TDA at (800) 835-5832 or visit our website, www.TexasAgriculture.gov.

Texas Agricultural Market Summary, Jan. 14, 2014

For the week ending Jan. 11, 2014, Texas feeder cattle auction prices through mid-week were mostly $3 to $15 higher per hundredweight (cwt) compared to their last sales prior to the holidays, with a few as much as $25 higher. Auctions later in the week were steady to $3 higher compared to the previous week. Texas direct feeder cattle prices were steady to $2 higher compared to a week ago. Market fundamentals remain bullish as tight supplies, record high fed cattle prices and grain prices much lower than they were at this time last year continue to support feeder prices. Fed cattle cash prices were up $2.47 from the previous week, which brought a new record high of $138.99 per cwt. Wholesale beef values also established record-high prices. Beef export sales totaled 5,800 metric tons, with Hong Kong and Japan as the leading buyers. Cotton prices were lower. U.S. production and projected U.S. and world ending stocks reported by USDA came in somewhat higher than expected. In addition, an unofficial survey of cotton growers indicated acreage may increase in 2014, and changes in Chinese cotton price support policies could sharply curtail their purchases this year. Weekly cotton export sales came in lower than expected at 68,100 bales, which is down 21 percent from the previous week and 62 percent lower than the prior four-week average. However, shipments were up 48 percent from a week earlier and up 37 percent from the average. Corn and grain sorghum prices ended the week higher after USDA reports showed lower than expected U.S. production and January 1 stocks on hand. In addition, projected U.S. and world supplies at the end of the marketing year came in lower than expected. However, this year’s U.S. corn crop was still a record-large 13.9 billion bushels, which will likely limit price gains. Corn export sales for the week were up one percent from the previous week, but down 79 percent from the four-week average. Japan and Mexico were the leading buyers. Shipments were down 29 percent from a week earlier and 34 percent below the average. Wheat prices were lower. USDA reported winter wheat seedings for harvest in 2014 at 41.9 million acres, down three percent from a year ago and much lower than expected. However, U.S. and world projected ending supplies were higher, and those large supplies continued to pressure the market. U.S. wheat export sales for the week were down 55 percent from the previous week and 76 percent lower than the prior four-week average. Futures markets were higher for feeder cattle, fed cattle, corn and lumber, but lower for cotton and wheat. Most of the state south of I-20 recorded precipitation during the week, with totals ranging from only a few hundredths of an inch in many western locations to an inch or more in much of East Texas. Last week’s U.S. Drought Monitor showed little change from the previous report. While there were some minor shifts in categories and regions, the overall percentage of the state rated as abnormally dry or in drought held steady at 72 percent. Most of the state east of I-35 and north of I-10, and sections of West and South Texas were free of drought.

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 Texas direct sales of 650-850 pound medium and large No.1 steers for current delivery. Futures prices are quoted for the nearest month contract on the last trading day of the week. Timber prices are from the Texas A&M Forest Service, bimonthly “Texas Timber Price Trends.” MBF = thousand board feet. For additional information, contact TDA at (800) 835-5832 or visit our website, www.TexasAgriculture.gov.

Texas Agricultural Market Summary, Jan. 7, 2014

For the week ending Jan. 4, 2014, Texas feeder cattle auction prices are not available as all reporting locations remained closed for the Holidays. Texas direct feeder cattle prices were steady. Market fundamentals remain bullish as tight supplies, record high fed cattle prices and grain prices much lower than they were at this time last year continue to support feeder prices. Fed cattle cash prices were up $3 from the previous week to a new record high $136.52 per cwt. Wholesale beef values were higher. Beef exports totaled only 2,500 metric tons, down 48 percent from the prior four-week average. Cotton prices were lower. Weekly cotton export sales were down 61 percent from both the previous week and the average. Major buyers were China, Bangladesh, Turkey and Mexico. Corn and grain sorghum prices were lower as large U.S. supplies and weak exports continue to pressure markets. Corn export sales for the week were down 90 percent from the previous week and 80 percent lower than the four-week average. Japan, Peru, and the Dominican Republic were leading buyers. Shipments were down 37 percent from a week earlier and 7 percent below the average. Wheat prices were lower. U.S. wheat export sales for the week were down 58 percent from the previous week and 46 percent lower than the prior four-week average. Futures markets were higher for feeder cattle and fed cattle, but lower for cotton, wheat, corn and lumber. Precipitation fell in the northern Panhandle, South and East Texas, with the heaviest totals of two inches or more falling in the Lower Rio Grande Valley. Last week’s U.S. Drought Monitor showed little change in Texas from the previous report, with the area of the state rated in some degree of drought holding steady at 72 percent. Most of East and East-Central Texas and sections of the Trans-Pecos, North and South Texas remain free of drought.

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 Texas direct sales of 650-850 pound medium and large No.1 steers for current delivery. Futures prices are quoted for the nearest month contract on the last trading day of the week. Timber prices are from the Texas A&M Forest Service, bimonthly “Texas Timber Price Trends.” MBF = thousand board feet. For additional information, contact TDA at (800) 835-5832 or visit our website, www.TexasAgriculture.gov.