05/31/2007 Farm Bureau Market Report

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Grain & Soybean Date: May 31, 2007 Soybeans Local Elevators: (May) EAST AR:  746 to 773 (NC) Summ. 773 to 796 River Elevators: (May) MISS: 761 to 777 ; AR & White 752 to 772 (NC) Summ. 771 to 798 Ark. Processor Bids: (May) 767 to 772  (NC) 796 to 799 Memphis:  (May) 774 1/4 to 775 1/4 (NC)  787 1/4 to 798 1/4 Riceland Foods:  (NC) Stuttgart 772 ; Pendleton 773 ; West Memphis 777 Chicago Futures: Jul down 2 at  806 1/4   Aug  down  2 1/4  at  813 1/2   Nov down 3/4  at  836 1/4   Jan down 1 3/4  at  844   Nov '08 down 2  at  855 1/2   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment New crop soybean contracts eased to new highs in early trading. However, there was little followthrough and at day’s end the market closed lower. Farmers have been less reluctant to move soybeans to market than corn. Tight holding of corn has produced improved basis levels and helped catapult values higher the last two days. The freer movement of beans appears to have eased fund buying and could trigger another technical selloff. This week’s low of $8.23 will provide initial support. Wheat Cash bid for new crop at Memphis  482 to 483; Bids to farmers at Local Elevators 463-474; River Elevators 461-489; Chicago Futures: Jul up  6 1/4  at  517    Sep up 7 1/4  at  532    Dec up  7  at  543    Jul '08 up  14  at  526    Jul '09 up  7  at  530    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for new crop at Memphis  625 to - - -; Bids to farmers at River Elevators 604-668; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for May at Memphis   397 1/4 to 404 1/4;   New crop at Memphis   362 1/2 to 363 1/2; Bids to farmers at River Elevators  383 to 396 Chicago Futures: Jul up  8  at  390 1/4    Sep up  6 3/4  at  391 1/2    Dec '07 up  3 1/2  at  384 3/4    Dec '08 unchanged    at  398    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Nearby corn futures were the driving force behind strong gains today. Good demand for old crop corn and slow farmer selling pushed prices higher, and deferred corn contracts and wheat futures went along for the ride. Fund buying was also a factor. July is testing resistance at $3.96 ½. Wheat also posted solid gains, and the contract high of $5.30 is the next level of resistance for July. Cotton & Rice  Date: May 31, 2007 Cotton Spot Price, Grade 41 Staple 34: Memphis up 67 at  4705   Greenwood up  67 at 4705 New York Futures: Jul up  67  at  5105    Oct up  40  at  5460    Dec up  66  at  5666    Mar up  55  at  5940    Dec '08 up  52  at  6390  This week's LDP rate for cotton is  9.39   The estimate for next week is  7.86 cents Cotton Comment Cotton was on the offensive again today with good gains carrying December to the 62% retracement objective of 57 cents. Last week’s bull flag formation remains intact with an upside objective around 59 cents, or very near the late March high. Overall fundamentals remain somewhat negative, but recent buying by China is expected to continue. Huge end of year stocks remain a drag on the market, although small U.S. plantings and weather problems could help reduce the ’07 crop significantly. Rice Long Grain Cash Bid for  May 906/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Jul down  1  at  1021    Sep down  1  at  1061    Nov down  1  at  1091    Jan unchanged    at  1160    Mar down  1  at  1143  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice was basically unchanged today as small early gains were lost by the end of the trading session. Fundamental news is lacking as there is little new business being generated. Mills continue to operate well below capacity and there doesn’t appear to be anything on the horizon to suggest a near term change. The international market is steady with high freight rates dominating the trade. Both Vietnam and Thailand are shipping against prior sales but fresh business is slow. The U.S. crop is progressing at a nice pace and will decline again as overall plantings are well below year ago levels. Technically, November has support at $10.80, upside potential appears limited for the near term. Cattle & Hogs  Date: May 31, 2007 Cattle As reported by Federal-State Market News, receipts were 3,171 head at sales in Charlotte, Ratcliff & Green Forest.  Compared with last week, feeder steers sold very unevenly, averaging near steady . Steers:  Medium & Large Frame 1   400 to 450 lbs. 120 to 130   500 to 550 lbs. 111 to 121   600 to 700 lbs. 107 to 117  Medium & Large Frame 2   400 to 450 lbs. 106 to 116 Heifers:  Medium & Large Frame 1   400 to 450 lbs. 110 to 120  Medium & Large Frame 2   400 to 450 lbs. 106 to 116 Slaughter Cows, Boners 45   to   52 Light Weight 35 to 42 Bulls, Yield Grade   1   1000   to   2100 lbs.   58   to   64.50, high dressing 65-70 Midwest Steers   were $1 lower to steady   at   92   to   93 Panhandle Steers   were $1 lower to steady   at   92   to   93 Oklahoma City Feeders Steers n/a to - - - lbs. - - - to - - -   n/a to - - - lbs. - - - to - - - Heifers n/a to - - - lbs. - - - to - - -   n/a to - - - lbs. - - - to - - - Chicago Futures: Live Cattle: Aug up 37 at 9147   Dec up 57 at 9595 Feeders: Aug up 107 at 11142   Oct up 127 at 11077 Cattle Comment Cattle futures posted gains again today on stronger beef prices and futures’ discount to cash. August has key support between $90-$91. Hogs Peoria: were $.5     lower   at   47   to   47.5 Chicago Futures: Aug up 15 at 7405   Oct up 42 at 6715 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hogs continued to climb higher, despite a somewhat negative fundamental situation. Weak cash markets and sharp declines in the composite pork cutout could limit the upside potential of the market. Poultry  Date: May 31, 2007 Eggs New York:  Ex. Lg. 84-88; Lg. 82-86; Med. 71-75; Chicago:  Ex. Lg. 80-88; Lg. 78-86; Med. 72-80; Eastern Region Turkeys Hens: 8-16 lbs. 77-79 Toms: 16-24 lbs. 77-79   Delmarva Broilers U.S. Grade A Trade sentiment was mixed, ranging steady to weak in the Midwest, steady in the East, and irreqular in the West. Supplies were at least adequate to satisfy trade needs. In production areas, live supplies were moderate at mixed, but mostly desirable weights. ---------------------------------------- HOW TO UNSUBSCRIBE You are receiving this newsletter because you requested that your e-mail address be added to the Arkansas Farm Bureau Market Report. To unsubscribe or change your subscription information, go to http://www.arfb.com/commodity/daily_rpt_email.asp ---------------------------------------- QUESTIONS OR COMMENTS? If you have any comments or questions about this e-newsletter please e-mail us at mktrpt@arfb.com Arkansas Farm Bureau 10720 Kanis Road Little Rock, AR 72211 501-224-4400 Copyright 2007 Arkansas Farm Bureau, Inc. All rights reserved