01/13/2009 Farm Bureau Market Report

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Grain & Soybean Date: January 13, 2009 Soybeans Local Elevators: (Jan) EAST AR:  954 to 977 (NC) Summ. 873 to 903 River Elevators: (Jan) MISS: 972 to 990 ; AR & White 946 to 961 (NC) Summ. 872 to 903 Ark. Processor Bids: (Jan) 963 to 967  (NC) 883 to 903 Memphis:  (Jan) 989 1/2 to 991 1/2 (NC)  897 1/2 to 902 1/2 Riceland Foods:  (Jan) Stuttgart 967 ; Pendleton 977 ; West Memphis 984 Chicago Futures: Jan '09 up 15 1/2 at  969 1/2   Mar '09  up  5 1/2  at  971 1/2   May '09 up 5 1/4  at  980 3/4   Jul '09 up 4 3/4  at  991   Nov '09 up 1/2  at  962 1/2   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans attempted to stabilize today after charting limit losses yesterday. USDA’s annual production report caught the market by surprise. USDA added 38 million bushels to the production estimate, while the trade was expecting a cut. Thanks to strong export demand, soybean usage was bumped up by 21 million bushels, but that wasn’t enough to offset the increase in production. Friday’s high looks like important overhead resistance now as the market has broken the recent uptrend. Corn posted sharp losses again today. USDA raised the production estimate to 12.101 billion bushels, up from 12.02 billion in November. The extra bushels were certainly not needed at a time when exports are down over 40% when compared with year ago numbers. Usage was also trimmed by 235 million bushels. Despite leaving a large gap on the open, the March corn chart doesn’t look terrible. The market is still trending sideways. Today’s price action looks ominous, and now it does look like a retest of the December low is not out of the question. Wheat Cash bid for January at Memphis  445 3/4 to 450 3/4; Bids to farmers at Local Elevators 465-480; River Elevators 472-515; Chicago Futures: Mar '09 up  1  at  570 3/4    May '09 up 1  at  583 1/2    Jul '09 up  1 1/4  at  595 1/4    Sep '09 up  2  at  616    Dec '09 up  2 1/4  at  635 3/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for January at Memphis  487 to 496; Bids to farmers at River Elevators 360-441; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for January at Memphis   346 1/2 to 357 1/2;   new crop at Memphis   348 1/2 to 353 1/2; Bids to farmers at River Elevators  322 to 347 Chicago Futures: Mar '09 down  18 1/4  at  362 1/2    May '09 down  18  at  373 1/4    Sep '09 down  17 3/4  at  393 1/2    Dec '09 down  17 1/4  at  407    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat ended a bit higher today. USDA cut projected winter wheat acreage by 4 million acres, when the average trade guess was approximately 2 million. Usage estimates were cut also, though, indicating that the market didn’t need the acreage that was cut. Ending stocks are estimated to be a plentiful 655 million. Cotton & Rice  Date: January 13, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis down 44 at  4223   Greenwood down  44 at 4223 New York Futures: Mar '09 down  42  at  4625    May '09 down  31  at  4706    Jul '09 down  40  at  4832    Dec '09 down  46  at  5260    - - -   - - -  at  - - -  This week's LDP rate for cotton is  12.97 cents   The estimate for next week is  13.49 cents Cotton Comment Early attempts to move the market higher failed today in cotton. The recent uptrend was broken in yesterday’s selloff, and the market was unable to build upward momentum today. USDA cut the production estimate by 577,000 bales from the December report. The US stocks to use ration came down slightly to 42.6 percent. World imports fell sharply, though, mostly due to lower consumption in China. Rice Long Grain Cash Bid for  n/a - - -  to  - - -   n/a - - -  to  - - - Chicago Futures: Jan '09 down  85  at  1371    Mar '09 down  70  at  1365    May '09 down  72 1/2  at  1379 1/2    Jul '09 down  75  at  1398    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice gapped lower today. USDA’s supply/demand report is continuing to have a big impact on the market. World ending stocks were increased nearly 2 million metric tons from the December report, mostly due to a large jump in the production estimate. March has fallen out of the recent sideways trading pattern and looks to be headed for a retest of the December low of $13.19. Cattle & Hogs  Date: January 13, 2009 Cattle As reported by Federal-State Market News, receipts were 1,618 head at sales in Fort Smith & Marshall.  Compared with last week, feeder steers sold $2-4 higher . Steers:  Medium & Large Frame 1   400 to 450 lbs. 113.50 to - - -   500 to 550 lbs. 105 to - - -   600 to 650 lbs. 95.50 to - - -  Medium & Large Frame 2   400 to 450 lbs. 104.25 to - - - Heifers:  Medium & Large Frame 1   400 to 450 lbs. 94.50 to - - -  Medium & Large Frame 2   400 to 450 lbs. 83 to - - - Slaughter Cows, Boners 40   to   46.50 Light Weight 28 to 32 Bulls, Yield Grade   1   1000   to   2100 lbs.   52   to   55, high dressing $56.75 Midwest Steers   n/a   at   - - -   to   - - - Panhandle Steers   n/a   at   - - -   to   - - - Oklahoma City Feeders Steers 500 to 550 lbs. 107 to 114   600 to 650 lbs. 95.50 to 102.25 Heifers 500 to 550 lbs. 89 to 100   600 to 650 lbs. 88 to 92.60 Chicago Futures: Live Cattle: Feb '09 up 117 at 8407   Apr '09 up 107 at 8757 Feeders: Jan '09 up 115 at 9635   May '09 up 132 at 9782 Cattle Comment Cattle futures turned higher on support from higher cutout values. Feeders were supported by big losses in corn. General economic woes continue to limit gains, however. Hogs Peoria: were $.5     higher   at   35.5   to   36 Chicago Futures: Feb '09 down 2 at 6145   Apr '09 down 20 at 6727 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hogs also continue to be under pressure from demand concerns and futures’ premium to cash prices. Poultry  Date: January 13, 2009 Eggs New York:  Ex. Lg. 127-131; Lg. 125-129; Med. 92-96; Chicago:  Ex. Lg. 116-124; Lg. 114-122; Med. 84-92; Eastern Region Turkeys Hens: 8-16 lbs. 69-74 Toms: 16-24 lbs. 69-73   Delmarva Broilers U.S. Grade A Trade sentiment was steady to about steady. Demand into all channels was fair at best with light trading. Supplies of all sizes were at least adequate to satisfy current 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 2008 Arkansas Farm Bureau, Inc. All rights reserved Terms of Use