08/18/2008 Farm Bureau Market Report

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Grain & Soybean Date: August 18, 2008 Soybeans Local Elevators: (Aug) EAST AR:  n/a to - - - (NC) Summ. 1181 to 1223 River Elevators: (Aug) MISS: 1224 to 1241 ; AR & White 1212 to 1225 (NC) Summ. 1124 to 1240 Ark. Processor Bids: (Aug) n/a to - - -  (NC) 1211 to 1219 Memphis:  (Aug) 1244 to 1249 (NC)  1234 to 1239 Riceland Foods:  (NC) Stuttgart 1219 ; Pendleton 1223 ; West Memphis 1240 Chicago Futures: Sep up 67 1/2 at  1279   Nov  up  70  at  1289   Jan '09 up 70  at  1306 3/4   Mar '09 up 69 3/4  at  1322 1/4   Nov '09 up 62 1/2  at  1276 1/2   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans led the market higher with limit or near limit grains in every contract. It appears fund liquidation is over and that impact is likely removed from the market. If that’s the case the market will begin to look at the supply demand situation and the continued tight stocks that will be in the forefront for the next year. The recent low of $11.74 and last week’s low of $12.04 should be support points. The next upside objective is the gap between $13.64 and $13.38. Corn needs to close above resistance at $5.80 to keep this upturn intact. Drier weather in the Midwest is a positive. Wheat Cash bid for August at Memphis  669 3/4 to 679 3/4; Bids to farmers at Local Elevators 627; River Elevators 614-660; Chicago Futures: Sep up  35 1/2  at  859 3/4    Dec up 35 1/2  at  884 3/4    Mar '09 up  35  at  909    May '09 up  35 1/4  at  924 3/4    Jul '09 up  35  at  933 3/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for August at Memphis  862 to 871; Bids to farmers at River Elevators 748-846; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for August at Memphis   523 to 533;   new crop at Memphis   n/a to - - -; Bids to farmers at River Elevators  497 to 521 Chicago Futures: Sep up  23 1/4  at  553    Dec up  23 1/4  at  572 3/4    Mar '09 up  23 1/4  at  591 3/4    Dec '09 up  18 1/2  at  611    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat posted strong gains today. Overall fundamentals suggest wheat is probably overpriced, but the recent price plunge did accelerate export demand. Drought conditions in Australia and Argentina are supportive, suggesting the crops in those countries will be smaller than anticipated. September fell short of challenging resistance at a chart gap between $9.05 and $9.07. Support is at the recent low of $7.49. Cotton & Rice  Date: August 18, 2008 Cotton Spot Price, Grade 41 Staple 34: Memphis up 9 at  6041   Greenwood up  9 at 6041 New York Futures: Oct down  1  at  6506    Dec up  12  at  6720    Mar '09 up  12  at  7246    May '09 up  39  at  7472    Jul '09 up  29  at  7607  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Unlike the grains, cotton couldn’t seem to hold early gains with December ending the session just slightly higher. Last week’s push below key support at 68.2 cents suggests further declines are likely with the next support in the 63 to 65 range. Big stocks and a small crop suggest pressure on the market near term, with improvement later in the year, or early next spring as the trade attempts to get additional acreage planted to cotton. Rice Long Grain Cash Bid for  Aug 1600/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Sep up  49 1/2  at  1665 1/2    Nov up  48 1/2  at  1692 1/2    Jan '09 up  48 1/2  at  1723 1/2    Mar '09 up  48 1/2  at  1753 1/2    - - - up  - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice traded to the positive side from the start and ended the session substantially higher. Producers continue to question whether this year’s crop will make the USDA projection. There is a feeling that the late start to this year’s crop will manifest itself in lower yields. The market, while thinly traded, responded in a positive manner putting September in position to perhaps test resistance around $17. Support at $16 continues to hold. The international market remains unsettled, with Vietnam continuing to make offers well below their official minimum export price (MEP) of $750. Unofficially, it appears that $600 may soon be the MEP. Cattle & Hogs  Date: August 18, 2008 Cattle As reported by Federal-State Market News, receipts were 2,804 head at sales in Ash Flat, Ola & Springdale.  Compared with last week, feeder steers under 500 lbs. sold weak to $3 lower, over 500 lbs. and all weight heifers sold firm to $3 higher . Steers:  Medium & Large Frame 1   400 to 450 lbs. 115.90 to - - -   500 to 550 lbs. 111.53 to - - -   600 to 650 lbs. 106.17 to - - -  Medium & Large Frame 2   400 to 450 lbs. 108.96 to - - - Heifers:  Medium & Large Frame 1   400 to 450 lbs. 101.94 to - - -  Medium & Large Frame 2   400 to 450 lbs. 96.97 to - - - Slaughter Cows, Boners 50   to   59 Light Weight n/a to - - - Bulls, Yield Grade   1   1000   to   2100 lbs.   65   to   71, high dressing 71-78 Midwest Steers   were 58 higher   at   158   to   - - - Panhandle Steers   were 58-60 higher   at   158   to   160 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: Oct up 10 at 10595   Dec up 37 at 10675 Feeders: Oct down 102 at 11350   Nov down 105 at 11310 Cattle Comment Cattle futures ended mixed, with live contracts a bit higher. Live futures currently hold a big premium to cash prices, and that limited gains. Feeders were under pressure from further gains in corn. Hogs Peoria: were $3     higher   at   58.5   to   59 Chicago Futures: Oct up 25 at 7580   Dec up 15 at 7500 Sheep St. Paul sheep shorn slaughter lambs.   at   n/a   to   - - - Hogs Comment Hog futures were mostly higher. Strong exports are countering the impact of record production. October was unable to hold gains above $76, and have support at Friday’s low of $75.50. Poultry  Date: August 18, 2008 Eggs New York:  Ex. Lg. 120-124; Lg. 118-122; Med. 82-86; Chicago:  Ex. Lg. 108-116; Lg. 106-114; Med. 70-78; Eastern Region Turkeys Hens: 8-16 lbs. 95-98 Toms: 16-24 lbs. 95-98   Delmarva Broilers U.S. Grade A Trade sentiment was steady. Demand following the weekend was fair to moderate. Supplies of all sizes were sufficient to handle current trade needs. 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