12/28/2007 Farm Bureau Market Report

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Grain & Soybean Date: December 28, 2007 Soybeans Local Elevators: (Dec) EAST AR:  1156 to 1184 (NC) Summ. 1171 to - - - River Elevators: (Dec) MISS: 1168 to 1193 ; AR & White 1160 to 1168 (NC) Summ. 1168 to 1203 Ark. Processor Bids: (Dec) 1166 to 1174  (NC) 1178 to 1200 Memphis:  (Dec) 1193 to 1200 3/4 (NC)  1075 1/2 to - - - Riceland Foods:  (NC) Stuttgart 1164 ; Pendleton 1183 ; West Memphis 1174 Chicago Futures: Jan down 4 3/4 at  1207 3/4   Mar  down  8 1/2  at  1223   May down 7 1/2  at  1240 1/2   Nov '08 down 1 3/4  at  1120 1/2   Nov '09 up 2  at  1042   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans could not hold early gains and ended lower for the second day in a row. The January contract registered a key reversal top, but given the holiday trade, it isn’t likely to hold up. The market was boosted by a good sales report and further weakness in the dollar. Higher crude oil also contributed to the early upturn. However, late profit taking and the upcoming New Year’s holiday contributed to the weak close. Some old crop contracts pushed near the all time record high of $12.90. We could see prices hit the teens for the first time ever. Be aware the market remains overbought technically, and is due a correction. Wheat Cash bid for new crop at Memphis  683 to 690; Bids to farmers at Local Elevators 668-680; River Elevators 665-683; Chicago Futures: Mar down  30  at  885    May down 26  at  893    Jul '08 down  14  at  778    Sep down  14 3/4  at  782 1/4    Jul '09 down  11  at  743    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for December at Memphis  859 to 861; Bids to farmers at River Elevators 716-763; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for December at Memphis   440 to 443;   new crop at Memphis   444 1/4 to - - -; Bids to farmers at River Elevators  419 to 438 Chicago Futures: Mar down  2 3/4  at  452    May down  2 3/4  at  463 1/4    Jul down  2  at  473    Dec '08 down  1 1/2  at  473    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat prices fell sharply today as most wheat contracts closed the day down almost the limit. March wheat fell through support levels at $9.06 and approached secondary support levels of $8.81. Additionally prices look to be moving toward a 50 percent retracement. As the new year approaches the large funds will begin re-evaluating their positions in the commodity markets. If we combine this with the current fundamentals situation, we may be in for a wild ride as we begin the new year. Cotton & Rice  Date: December 28, 2007 Cotton Spot Price, Grade 41 Staple 34: Memphis up 11 at  6264   Greenwood up  11 at 6264 New York Futures: Mar up  11  at  6789    May up  19  at  6938    Jul up  17  at  7104    Dec '08 up  3  at  7520    Mar '09 unchanged    at  7770  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Cotton inched higher as the market is showing growing concerns about further cuts in ’08 planted acreage. While there are ample stocks available for the current market year, plantings in the 9 to 10 million acre range would substantially reduce stocks in 08/09. Production would likely be in the 14 to 16 million bale range. While that is well above domestic needs, China and several other countries will need substantial imports to feed their rapidly expanding mill sector. Old crop March may test support at 70 cents, while December may need to move above 80 cents to keep acreage from moving to soybeans, corn and wheat. Rice Long Grain Cash Bid for  Jan/Feb/Mar 1252/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Jan up  14  at  1365    Mar up  14  at  1397    May up  14  at  1422    Sep up  10  at  1375    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice futures jumped to new contract highs with a number of contracts now trading above $14 level. There is no indication that this market is near a top as overall fundamentals remain positive with U.S. and world stocks continuing to tighten. The market got a positive boost from the recent European Common market announcement that they would no longer test for biogenetic materials. In order to hold acreage rice will likely need to move higher in order to compete with soybeans and grains. Cattle & Hogs  Date: December 28, 2007 Cattle As reported by Federal-State Market News, receipts were n/a head at sales in n/a.  Compared with last week, feeder steers n/a . Steers:  Medium & Large Frame n/a   - - - to - - - lbs. - - - to - - -   - - - to - - - lbs. - - - to - - -   - - - to - - - lbs. - - - to - - -  Medium & Large Frame n/a   - - - to - - - lbs. - - - to - - - Heifers:  Medium & Large Frame n/a   - - - to - - - lbs. - - - to - - -  Medium & Large Frame n/a   - - - to - - - lbs. - - - to - - - Slaughter Cows, Boners n/a   to   Light Weight n/a to Bulls, Yield Grade   n/a   - - -   to   - - - lbs.   - - -   to   - - - Midwest Steers   were steady   at   92   to   93 Panhandle Steers   n/a   at   - - -   to   - - - 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: Feb down 12 at 9605   Jun down 5 at 9477 Feeders: Jan down 5 at 10432   Mar up 2 at 10635 Cattle Comment Cattle prices finished the day mixed. Sharply lower hog prices made it difficult for cattle prices to strengthen today, despite continued weather concerns. February futures have resistance around $97. Hogs Peoria: were     steady   at   28   to   30 Chicago Futures: Feb down 197 at 5730   Jun down 100 at 7292 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Yesterday's USDA Hog report showed a 5% increase in hog inventories compared to year ago levels. The increase was much larger than industry expectations, causing hog prices to drop sharply today. These large supplies are likely to extend into 2008 and pressure prices for some time. Poultry  Date: December 28, 2007 Eggs New York:  Ex. Lg. 163-167; Lg. 161-165; Med. 151-155; Chicago:  Ex. Lg. 152-160; Lg. 150-158; 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 fully steady to firm. Supplies of all sizes were balanced to short of full 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