05/27/2008 Farm Bureau Market Report

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Grain & Soybean Date: May 27, 2008 Soybeans Local Elevators: (May) EAST AR:  1271 to 1295 (NC) Summ. 1233 to 1265 River Elevators: (May) MISS: 1248 to 1315 ; AR & White 1279 to 1285 (NC) Summ. 1239 to 1273 Ark. Processor Bids: (May) 1278 to 1286  (NC) 1261 to 1263 Memphis:  (May) 1307 3/4 to -- - (NC)  1266 1/4 to 1271 1/4 Riceland Foods:  (May/June) Stuttgart 1286 ; Pendleton 1295 ; West Memphis 1315 Chicago Futures: July down 20 1/4 at  1347 3/4   Aug  down  18 1/2  at  1351 1/2   Sept down 13 1/4  at  1344 3/4   Nov down 12 1/4  at  1341 1/4   Nov '09 down 9 1/4  at  1339 1/4   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans took the lead from crude oil and moved lower throughout today’s trading session. Declines were limited by weather considerations and indications planting progress remains well behind the norm. Only 45 to 50% of the crop is expected to have been planted versus a 5 year average of 75%. Current resistance is near $13.60, with support just under $12. Corn also was lower despite a strong export number. December continued to hold trendline support, but is vulnerable to a move lower in the weeks ahead. Wheat Cash bid for new crop at Memphis  584 to 599; Bids to farmers at Local Elevators 571-584; River Elevators 556-597; Chicago Futures: July up  6 1/2  at  759    Sept up 6 1/2  at  774 1/4    Dec up  6 1/2  at  796    March '09 up  7 1/2  at  815    July '09 up  7 1/2  at  836    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for May at Memphis  961 to 970; Bids to farmers at River Elevators 880-941; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for May at Memphis   556 to 558;   New crop at Memphis   559 to - - -; Bids to farmers at River Elevators  535 to 550 Chicago Futures: July down  1 3/4  at  598    Sept down  1 3/4  at  611    Dec down  1 3/4  at  625 1/2    Dec '09 up  1/2  at  615    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat prices continue to regain last Thursday’s losses. Overpriced European wheat is expected to strengthen U.S. exports during 2008, which is adding some support to the market, but probably the biggest support factor for wheat right now is the fact Australia is looking at a third straight year of drought. Eastern Australia, which produces 30% of their crop is planting less wheat than expected due to insufficient soil moisture. Corn prices continue to trade choppy, despite the fact the crop is behind schedule. Weak crude oil prices caused corn prices to decline slightly today. Cotton & Rice  Date: May 27, 2008 Cotton Spot Price, Grade 41 Staple 34: Memphis down 296 at  5800   Greenwood down  296 at 5800 New York Futures: July down  296  at  6625    Dec down  300  at  7501    March '09 down  300  at  8051    May '09 down  266  at  8215    July '09 down  246  at  8350  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Cotton broke both trendline support and support at the March 20 low of 76.34 cents early in the session. Further technical selling pushed the market down the 300 point daily limit. Today’s close at 75 cents will bring support at 74.35 cents into play and perhaps a push toward the earlier December low of $70.19 cents. Overall, U.S. and world supply numbers remain negative. U.S. domestic use is projected to continue lower and exports will have to be competitive to keep the U.S. in the mix. Rice Long Grain Cash Bid for  May 1950 /cwt  to  - - -   June 1950/cwt  to  - - - Chicago Futures: July down  75  at  1960    Sept down  75  at  1910    Jan '09 down  65  at  1941    March '09 down  55  at  1971    - - - unchanged  - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice was hit by sharp declines early with limited activity. November is likely to retest support at $48.23. There would seem to be little reason for the current weakness, as overall fundamentals are unchanged. The international market has calmed down in recent weeks with Thailand making a recent sale to Malaysia at $950 per metric tonne. Most offers appear to be closer to $1000 per tonne. Thailand appears to have moved 2/3 of their export allotment of 9 million metric tonnes. That leaves about 3 mmt for the second half of the year. Things could still get interesting, but as a reminder, wheat futures have lost over $5 a bushel in just 10 weeks. It is less likely to happen in rice, but producers need to be aware that what goes up- will come down. Cattle & Hogs  Date: May 27, 2008 Cattle As reported by Federal-State Market News, receipts were 2852 head at sales in Springdale, Ola, Ash Flat and Marshall.  Compared with last week, feeder steers sold mostly firm to $4 higher . Steers:  Medium & Large Frame 1   400 to 450 lbs. 120.54 to - - -   500 to 550 lbs. 114.18 to - - -   600 to 650 lbs. 106.30 to - - -  Medium & Large Frame 2   400 to 450 lbs. 113.75 to - - - Heifers:  Medium & Large Frame 1   500 to 550 lbs. 105.30 to - - -  Medium & Large Frame 2   600 to 650 lbs. 101.90 to - - - Slaughter Cows, Boners 50   to   57 Light Weight 36 to 42.50 Bulls, Yield Grade   1   1000   to   2100 lbs.   64   to   71 Midwest Steers   were   at   92   to   94 Panhandle Steers   were   at   92   to   95 Oklahoma City Feeders Steers 550 to - - - lbs. 112 to 113   640 to 650 lbs. 109 to 110.50 Heifers 595 to - - - lbs. 109 to - - -   600 to 675 lbs. 106 to 109 Chicago Futures: Live Cattle: June up 52 at 9670   Aug up 20 at 10150 Feeders: Aug up 2 at 11525   Oct down 5 at 11685 Cattle Comment Live cattle prices held onto Friday’s gains, finishing the day up slightly. Good packer margins combined with perceived strong demand is adding some support to this market. Hogs Peoria: were 50¢ lower to $2     higher   at   49.5   to   50 Chicago Futures: June down 90 at 7695   Oct down 60 at 7340 Sheep St. Paul n/a   at   - - -   to   - - - Hogs Comment Lean hog prices declined sharply today. Speculative selling and weak cash prices continue to pressure prices. Poultry  Date: May 27, 2008 Eggs New York:  Ex. Lg. 104-108; Lg. 102-106; Med. 93-97; Chicago:  Ex. Lg. 93-101; Lg. 91-99; Med. 83-91; Eastern Region Turkeys Hens: 8-16 lbs. 89-90 Toms: 16-24 lbs. 89-90   Delmarva Broilers U.S. Grade A Trade sentiment was steady. Demand was light to moderate with most plants assessing market conditions following the extended Memorial Day weekend. Supplies of all sizes were usually sufficient to handle trade need. Processing schedules for this week were lighter due to plants being down for the holiday. In production areas, live supplies were moderate at 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 2008 Arkansas Farm Bureau, Inc. All rights reserved Terms of Use