12/21/2007 Farm Bureau Market Report

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Grain & Soybean Date: December 21, 2007 The Farm Bureau Center will be closed on Monday, December 24 & Tuesday, December 25 in observance of the Christmas holiday. The next market report will be available on Wednesday, December 26. We hope you all have a safe and Merry Christmas. Soybeans Local Elevators: (Dec) EAST AR:  1126 to 1154 (NC) Summ. 1139 to - - - River Elevators: (Dec) MISS: 1143 to 1163 ; AR & White 1133 to 1138 (NC) Summ. 1154 to 1173 Ark. Processor Bids: (Dec) 1136 to 1144  (NC) 1155 to 1171 Memphis:  (Dec) 1176 to 1178 1/2 (NC)  1054 1/4 to - - - Riceland Foods:  (Dec) Stuttgart 1144 ; Pendleton 1154 ; West Memphis 1163 Chicago Futures: Jan up 16 3/4 at  1177 1/2   Mar  up  16 1/4  at  1196   May up 16 1/4  at  1212   Nov '08 up 16 1/4  at  1094 1/4   Nov '09 up 21  at  1022   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans and corn continued to move higher with no apparent end in sight. There is little fresh fundamental news to drive the market. So, it appears to be the battle for ’08 acreage and continued support from funds. While there is no obvious end in sight, several old crop contracts are now above $12.00 and new crop November approached $11. Looking at the charts, a tiny gap at $10 may prove to be a measuring gap – if so, the objective would be $11.70. Keep in mind that when the market does top, there could be a big downward retracement. Wheat Cash bid for new crop at Memphis  699 1/2 to 704 1/2; Bids to farmers at Local Elevators 679-692; River Elevators 677-695; Chicago Futures: Mar down  5  at  949    May down 6 1/2  at  949    Jul up  10  at  789 1/2    Sep up  9 1/2  at  794    Jul '09 up  8  at  748    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for December at Memphis  844 to 846; Bids to farmers at River Elevators 701-764; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for December at Memphis   433 1/2 to 434 1/2;   new crop at Memphis   436 3/4 to - - -; Bids to farmers at River Elevators  411 to 430 Chicago Futures: Mar up  6  at  443 1/2    May up  5 3/4  at  453 3/4    Jul up  6 1/2  at  461 3/4    Dec '08 up  8  at  462 1/2    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat was mixed with support coming from strength in corn and soybeans. Yesterday’s export report showed more cancellations than sales, indicating that we have priced ourselves out of the market for the time being. July futures have support near $7.64. Cotton & Rice  Date: December 21, 2007 Cotton Spot Price, Grade 41 Staple 34: Memphis up 41 at  6133   Greenwood up  41 at 6133 New York Futures: Mar up  38  at  6655    May up  42  at  6795    Jul up  57  at  6970    Dec up  40  at  7420    Mar '09 up  25  at  7655  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Cotton ended the pre-holiday period slightly higher and in a positive technical position going into the end of the year. The market continues to labor under a substantially larger than anticipated U.S. crop. USDA moved production to just under 19 million bales which would leave stocks of 7.7 million bales. That’s a lot when domestic use is a mere 4.6 million bales. So, a big carryover will dominate the market for the time being. Old crop contracts are likely to trade in the 63 to 69 cents range for the near term. Looking ahead early prospects suggest a 10 million acre or less crop in ’08. One nationally known firm suggests the crop may be nearer 9 million acres. Production would be 15 to 16 million bales, down substantially, but still a lot to move when domestic use is as low as it is. However, that acreage would likely send ’08 prices toward the upper 70’s. Rice Long Grain Cash Bid for  Jan 1242/cwt  to  - - -   Feb/Mar 1242  to  1256/cwt Chicago Futures: Jan up  15  at  1355    Mar up  16 1/2  at  1387 1/2    May up  17  at  1412    Sep up  7  at  1357    n/a up  - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice gapped higher and moved above the recent consolidation area to close at new contract highs. There are no obvious upside chart points to aim at but there will be support on any retracement starting at $13.10. Overall fundamentals are unchanged as the market continues to look at tightening U.S. and world stocks. A big question is what U.S. plantings will be in ’08. Exceptionally strong corn, wheat and soybean price levels may have producers thinking about what to plant next year. Weaker producing land that requires more water and fertilizer could move from rice. General feeling is nice acreage may not change substantially. Cattle & Hogs  Date: December 21, 2007 Cattle As reported by Federal-State Market News, receipts were 7,845 head at sales in Arkansas this week.  Compared with last week, feeder steers sold near steady on a light pre-holiday test. . Steers:  Medium & Large Frame 1   400 to 450 lbs. 113 to 123   500 to 550 lbs. 106 to 112   600 to 650 lbs. 99 to 105  Medium & Large Frame 2   400 to 450 lbs. 104 to 114 Heifers:  Medium & Large Frame 1   400 to 450 lbs. 102 to 110  Medium & Large Frame 2   400 to 450 lbs. 90 to 100 Slaughter Cows, Boners 44   to   46 Light Weight 32 to 36 Bulls, Yield Grade   1   1000   to   2100 lbs.   53   to   57, high dressing untested Midwest Steers   were $1.-$.50 lower   at   91   to   91.50 Panhandle Steers   n/a   at   - - -   to   - - - Oklahoma City Feeders Steers 500 to 550 lbs. 113.75 to 123.50   600 to 650 lbs. 104.25 to 11350 Heifers 500 to 550 lbs. 93.50 to 107.50   600 to 650 lbs. 90.50 to 104.50 Chicago Futures: Live Cattle: Feb down 17 at 9552   Jun down 15 at 9437 Feeders: Jan down 12 at 10382   Mar down 67 at 10627 Cattle Comment Cattle futures were mostly lower ahead of this afternoon’s Cattle on Feed report. The market is anticipating an on-feed inventory close to last year’s number thanks to active placements and slower marketings. Weaker product values were also a factor. Hogs Peoria: were $1.5     lower   at   30   to   30.5 Chicago Futures: Feb down 17 at 5972   Jun down 7 at 7455 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hog futures were mixed in slow trading ahead of the Holidays. Hog runs are expected to be sharply lower during Christmas week with producers pushing marketings forward. Like cattle, little improvement is seen until after the holidays. Poultry  Date: December 21, 2007 Eggs New York:  Ex. Lg. 163-167; Lg. 161-165; Med. 151-155; Chicago:  Ex. Lg. 151-159; Lg. 149-157; Med. 141-149; Eastern Region Turkeys Hens: 8-16 lbs. 75-76 Toms: 16-24 lbs. 75-76   Delmarva Broilers U.S. Grade A Trade sentiment was mostly steady to fully steady. Supplies of all sizes were in balance to closely cleared for 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_marketing/email/ ---------------------------------------- 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 Terms of Use