01/14/2008 Farm Bureau Market Report

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Grain & Soybean Date: January 14, 2008 Soybeans Local Elevators: (Jan) EAST AR:  1222 to 1247 (NC) Summ. 1183 to 1213 River Elevators: (Jan) MISS: 1229 to 1271 ; AR & White 1217 to 1239 (NC) Summ. 1176 to 1218 Ark. Processor Bids: (Jan) 1239 to 1243  (NC) 1206 to 1213 Memphis:  (Jan) 1238 1/2 to 1243 1/2 (NC)  1203 to - - - Riceland Foods:  (NC) Stuttgart 1243 ; Pendleton 1247 ; West Memphis 1271 Chicago Futures: Jan up 11 at  1297   Mar  down  2 1/4  at  1296 1/2   May down 2 3/4  at  1314 1/4   Nov '08 up 18  at  1263   Nov '09 up 22 1/2  at  1215   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans backed off early limit gains to close mixed, as the market saw bear spreading develop later in the session. While corn held most of its gains soybeans followed the trend that was seen most of last week – old crop weakening versus new crop. Old crop was as much as a dollar above new crop November - just a weak ago that spread has narrowed to just 33 cents. Overall corn gained versus beans as the market attempts to equalize the ’08 crop needs. Last week’s report indicates corn acreage can’t decline much from the ’09 plantings of 93.6 million acres, but tight bean stocks and increasing demand means beans need acreage to. Last month’s crush figure was bigger than expected meaning price has not rationed supply. The battle continues but look for the market to retrace a part of these big gains at some point in the near future. Keep adding to ’08 sales as corn and bean price levels move higher. Wheat Cash bid for new crop at Memphis  731 to 736; Bids to farmers at Local Elevators 721-738; River Elevators 723-741; Chicago Futures: Mar up  7 3/4  at  917    May up 11 1/2  at  934    Jul '08 up  30  at  836    Sep up  30  at  844 1/2    Jul '09 up  26  at  824    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for January at Memphis  941 to 950; Bids to farmers at River Elevators 832-895; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for January at Memphis   487 to 489;   new crop at Memphis   489 1/4 to 494 1/4; Bids to farmers at River Elevators  473 to 488 Chicago Futures: Mar up  17  at  512    May up  18  at  524 1/4    Jul up  18 3/4  at  534 3/4    Dec '08 up  17 1/4  at  530 1/2    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat moved limit up in new crop contracts with July making a new high of $8.36 and signaling further gains. New crop was boosted by last week’s smaller than expected plantings for ’08. July may work toward $9, if crop conditions don’t improve. Cotton & Rice  Date: January 14, 2008 Cotton Spot Price, Grade 41 Staple 34: Memphis up 124 at  6645   Greenwood up  124 at 6645 New York Futures: Mar up  13 1/2  at  713    May up  16 3/4  at  733    Jul up  16  at  750    Dec up  15 1/2  at  791    Mar '09 up  28  at  827  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Cotton moved to limit gains for the second session in a row. However, later activity pared the gains pulling new crop December back below 80 cents. While Friday’s report made only minor adjustments in the U.S. supply/demand numbers, it is evident cotton plantings will be significantly lower in ’08. Cotton futures must move higher to stay on even ground. Lower costs, less labor, less intensive management gives soybeans a big advantage. Producers must consider equipment and infrastructure such as gins and warehouses, but in the end the bottom line doesn’t look good for cotton. Rice Long Grain Cash Bid for  Jan/Feb/Mar 1280/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Jan up  2  at  1428    Mar down  2 1/2  at  1455    May down  3  at  1485    Sep down  7  at  1445    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice saw little action today as the market sat back and watched all the fun in beans, corn and wheat. Small losses were seen in limited activity. Rice supplies are tightening which suggest the need for more acreage. However, long term rice will need to move higher if the gains in corn and beans hold. Otherwise acreage will move from rice. USDA pared 400,000 cwt off the ’07 production and 500,000 cwt off ending stocks. That all came from long grain. Projected ending stocks for all rice is now set at 24.6 million cwt, with long grain down to 11.7 million cwt. Cattle & Hogs  Date: January 14, 2008 Cattle As reported by Federal-State Market News, receipts were 3,068 head at sales in Ash Flat, Ola & Springdale.  Compared with last week, feeder steers sold mostly weak to $4 lower . Steers:  Medium & Large Frame 1   400 to 450 lbs. 116 to 126   500 to 550 lbs. 104 to 114   600 to 700 lbs. 90 to 100  Medium & Large Frame 2   400 to 450 lbs. 104 to 114 Heifers:  Medium & Large Frame 1   400 to 450 lbs. 94 to 104  Medium & Large Frame 2   350 to 400 lbs. 87 to 97 Slaughter Cows, Boners 42   to   48 Light Weight 32 to 36 Bulls, Yield Grade   1   1000   to   2100 lbs.   52   to   59, high dressing 59-62 Midwest Steers   were $2 lower to $.50 higher   at   90   to   92.50 Panhandle Steers   were $.50 lower to $.50 higher   at   91.50   to   92.50 Oklahoma City Feeders Steers 500 to 550 lbs. 115.50 to 118.25   600 to 650 lbs. 101 to 107.50 Heifers 500 to 550 lbs. 97 to 99.50   600 to 650 lbs. 94.50 to - - - Chicago Futures: Live Cattle: Feb down 45 at 9090   Jun up 40 at 9450 Feeders: Jan down 107 at 9842   Mar down 105 at 1045 Cattle Comment Cattle futures were sharply lower as the market was hit with limit gains in corn and beans. High costs could lead to early marketing for some producers. Feeders were under heavy pressure for that same reason. Lackluster demand for beef amid economic concerns added to the negative undertone. Feedlots and packers generally remain several dollars apart on their bids and offers. Hogs Peoria: were $1     lower   at   25.5   to   26 Chicago Futures: Feb up 10 at 5410   Jun up 97 at 7560 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hog futures were higher with distant months showing the biggest gains. This reflects feelings that high feed costs will trim herds and reduce pig crop prospects later in the year. This would lead to more pork short term and less longer term. Poultry  Date: January 14, 2008 Eggs New York:  Ex. Lg. 156-160; Lg. 154-158; Med. 138-142; Chicago:  Ex. Lg. 145-153; Lg. 143-151; Med. 128-136; Eastern Region Turkeys Hens: 8-16 lbs. 71-75 Toms: 16-24 lbs. 71-75   Delmarva Broilers U.S. Grade A Trade sentiment was steady at best. Supplies of all sizes were more than sufficient 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_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