01/10/2008 Farm Bureau Market Report

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Grain & Soybean Date: January 10, 2008 Soybeans Local Elevators: (Jan) EAST AR:  1190 to 1210 (NC) Summ. 1120 to 1145 River Elevators: (Jan) MISS: 1202 to 1234 ; AR & White 1191 to 1202 (NC) Summ. 1118 to 1150 Ark. Processor Bids: (Jan) 1202 to 1206  (NC) 1138 to 1145 Memphis:  (Jan) 1218 1/4 to 1225 1/4 (NC)  1145 to 1149 Riceland Foods:  (NC) Stuttgart 1206 ; Pendleton 1210 ; West Memphis 1234 Chicago Futures: Jan down 5 at  1244   Mar  down  2 1/4  at  1260 1/4   May down 2 1/2  at  1277 1/2   Nov '08 up 11  at  1195   Nov '09 up 13 1/2  at  1145   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans followed much the same pattern as yesterday and Monday when early weakness gave way to strong buying. In the end, new crop firmed while old crop closed lower. Most early reports suggest some further tightening of ending stocks, but it is expected to be minor since carryover is currently projected to be 195 million bushels. November futures hit $11.98 and continue to give producers excellent pricing opportunities. Wheat Cash bid for new crop at Memphis  782 1/2 to 847 1/2; Bids to farmers at Local Elevators 666-678; River Elevators 663-681; Chicago Futures: Mar down  7  at  882 1/2    May down 10  at  892 1/2    Jul down  15  at  776    Sep down  13 1/2  at  784 1/2    Jul '09 down  4 1/2  at  768    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for January at Memphis  900 to 902; Bids to farmers at River Elevators 766-829; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for January at Memphis   463 to 466;   new crop at Memphis   466 to - - -; Bids to farmers at River Elevators  444 to 459 Chicago Futures: Mar down  7  at  882 1/2    May down  10  at  892 1/2    Jul down  15  at  776    Dec down  11  at  798    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat futures were sharply lower again today as traders establish positions ahead of tomorrow’s release of the January crop report. The USDA will release its first winter wheat seeding estimate, and the trade is now anticipating an 8% increase in acres over the last year. Further weakness came from news that Pakistan has cancelled a tender, citing high prices as the reason. July has strong support at the recent low of $7.63, and is building resistance at the recent high of $8.19. Cotton & Rice  Date: January 10, 2008 Cotton Spot Price, Grade 41 Staple 34: Memphis down 206 at  6221   Greenwood down  206 at 6221 New York Futures: Mar down  222  at  6680    May down  221  at  6850    Jul down  170  at  7080    Dec down  231  at  7455    Mar '09 down  45  at  7926  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Cotton was hit hard ahead of tomorrow’s report. A poor export report added fuel to the fire, as general expectations are for an increase in projected ending stocks. So, just more of the same increased production, and reduced utilization. That remains the outlook for the near term and that continues to put a cap on upside potential. Today’s move broke trendline support and leaves the market vulnerable to further declines. However, the market must be anticipatory and expectations are for ’08 plantings to be substantially lower than in ’07. Projections put plantings in the 9.25 to 10 million acre range. This compares to 15.3 million acres in ’06 and 10.9 million acres in ’07. Unless price moves higher, another substantial cut will be seen in ’08. Rice Long Grain Cash Bid for  Jan 1260  to  1285/cwt   Feb/Mar 1285/cwt  to  - - - Chicago Futures: Jan up  15  at  1435    Mar up  10 1/2  at  1460 1/2    May up  13  at  1490    Sep up  18  at  1443    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice made new contract highs as the market reversed early weakness and closed higher. No major adjustments are anticipated in Friday’s report, but there is continued concern about tightening world and U.S. stocks. Vietnam’s export ban remains in effect officially. In fact, however, their move to fill a recent tender by the Philippines was a signal they are ready to do business even though harvest is 6 to 8 weeks away. International price levels are steady to firm with Thai sales activity slow as they fill prior purchases. Domestically, producers and buyers aren’t together on bids and offers or on delivery dates. Most mills and exporters covered into late winter and producers are anxious to move rice in the near future. Overall the market undertone remains firm. Cattle & Hogs  Date: January 10, 2008 Cattle As reported by Federal-State Market News, receipts were 3,419 head at sales in Charlotte & Green Forest.  Compared with last week, feeder steers sold weak to $4 lower . Steers:  Medium & Large Frame 1   400 to 450 lbs. 109 to 119   500 to 550 lbs. 105 to 115   600 to 700 lbs. 101 to 111  Medium & Large Frame 2   400 to 450 lbs. 85 to 95 Heifers:  Medium & Large Frame 1   400 to 450 lbs. 93 to 103  Medium & Large Frame 2   400 to 450 lbs. 85 to 95 Slaughter Cows, Boners 43   to   48 Light Weight 30 to 38 Bulls, Yield Grade   1-2   1000   to   2100 lbs.   54   to   58.50 Midwest Steers   were steady   at   92   to   - - - Panhandle Steers   were steady   at   92   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 7 at 9320   Jun up 37 at 9432 Feeders: Jan up 160 at 10175   Mar up 137 at 10477 Cattle Comment Cattle futures ended mostly higher after trading lower in early dealings. Weak beef demand and negative packer margins are limiting the upside. The April live contract fell out the bottom of the trading channel that had held the market since November, suggesting additional weakness is likely. The market could work toward $94, the spring 2007 low. Hogs Peoria: were     steady   at   26.5   to   27 Chicago Futures: Feb down 100 at 5552   Jun up 22 at 7432 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hog futures were mostly higher, with nearby February under pressure from its premium to cash prices. Improving product values were supportive, but recent strength is mostly technical in nature. Futures had become very oversold and were due a corrective rebound. Poultry  Date: January 10, 2008 Eggs New York:  Ex. Lg. 156-160; Lg. 154-158; Med. 138-142; Chicago:  Ex. Lg. 152-160; Lg. 150-158; Med. 134-142; Eastern Region Turkeys Hens: 8-16 lbs. 73-75 Toms: 16-24 lbs. 73-75   Delmarva Broilers U.S. Grade A Trade sentiment was mixed, but overall steady at best. Supplies of all sizes were usually sufficient to more available 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