03/27/2009 Farm Bureau Market Report

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Grain & Soybean Date: March 27, 2009 Soybeans Local Elevators: (Mar) EAST AR:  899 to 914 (NC) Summ. 781 to 806 River Elevators: (Mar) MISS: 912 to 934 ; AR & White 897 to 912 (NC) Summ. 793 to 826 Ark. Processor Bids: (Mar) 913 to 914  (NC) 801 to 806 Memphis:  (Mar) 929 to 937 (NC)  820 3/4 to 825 3/4 Riceland Foods:  (Mar) Stuttgart 914 ; Pendleton 914 ; West Memphis 934 Chicago Futures: May down 27 at  917   Jul  down  25 1/4  at  915 1/4   Sep down 21 1/4  at  871 3/4   Nov down 19 3/4  at  860 3/4   Jan '10 down 19  at  871 1/2   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans ended the day on a weak note with further unwinding of the bull spread ahead of Tuesday’s report. Old crop contracts were sharply lower as a result. A big upmove in the dollar and lower crude oil just added to the negative undertone. There were also reports that China is going to sell a substantial quantity of government stocks in local areas. No doubt this is negative for near term export demand. November dropped below previous support around $8.80, giving the chart a bearish look. Corn was also lower today, but seemed to be under much less pressure than beans. Pre-report estimates on planting intentions for corn are all over the place, ranging from 80 to 89 million acres with an average of 84.3 million acres. The current price ratio of November beans to December corn at 2.06 to 1 would seem to favor corn. Wheat Cash bid for March at Memphis  437 1/4 to 447 1/4; Bids to farmers at Local Elevators 420-445; River Elevators 432-465; Chicago Futures: May down  7 1/4  at  507 1/4    Jul down 7  at  520    Sep down  6 3/4  at  545 3/4    Dec down  6 3/4  at  569 1/2    Mar '10 down  6 1/2  at  585    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for March at Memphis  575 to - - -; Bids to farmers at River Elevators 471-551; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for March at Memphis   382 to - - -;   new crop at Memphis   367 to - - -; Bids to farmers at River Elevators  352 to 377 Chicago Futures: May down  3 3/4  at  387    Jul down  3 3/4  at  397 1/2    Sep down  3 1/2  at  407    Dec down  3 1/2  at  407 1/4    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat futures turned lower today, mostly on the influence of outside markets. Improvement in the value of the dollar and declines in both stocks and crude oil resulted in lower prices in the wheat pit. Also, the weather premium that has been built into this market due to dry conditions in the Plains is disappearing, as that part of the country has received much-needed precipitation in recent days, giving the crop a boost. Cotton & Rice  Date: March 27, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis down 62 at  3859   Greenwood down  62 at 3859 New York Futures: May down  62  at  4334    Jul down  58  at  4431    Dec down  62  at  4872    Mar '10 down  57  at  5164    n/a down  - - -  at  - - -  This week's LDP rate for cotton is  18.17 cents   The estimate for next week is  18.29 cents Cotton Comment Cotton continued yesterday’s decline with December falling below 49 cents. There is obviously a demand problem as the market continues to trade at extremely low levels. With a loan rate of 52 cents the market will need to be above 60 cents to offer producers any real advantage. That doesn’t appear to be in the cards, near term. If next week’s intentions report throws the market a curve ball, it could help start a revival, but in any case it will be a while before the market makes any significant gains. Rice Long Grain Cash Bid for  n/a - - -  to  - - -   n/a - - -  to  - - - Chicago Futures: May down  24  at  1237 1/2    Jul down  21 1/2  at  1260    Sep down  8  at  1192    Nov down  2  at  1210    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice continues to work in a sideways consolidation pattern with little indication the market is ready to make any long term move. Medium grain rice continues to steal the show, but the mid-South seed supply is limited. Long grain export sales got a boost with last week’s confirmed sales to Iraq, but the market needs more. There is still concern that Thailand will release government intervention stocks into the market at any time. This year’s plantings are expected to be up slightly from last year, but who knows. Some decisions will be made on the fly – depending on weather and planting conditions. Cattle & Hogs  Date: March 27, 2009 Cattle As reported by Federal-State Market News, receipts were 9,980 head at sales in Arkansas this week.  Compared with last week, feeder steers sold mostly steady to $2 higher. Feeder heifers sold mostly $2-4 higher . Steers:  Medium & Large Frame 1   400 to 450 lbs. 111.75 to - - -   500 to 550 lbs. 101.75 to - - -   600 to 650 lbs. 94.50 to - - -  Medium & Large Frame 2   400 to 450 lbs. 97.50 to - - - Heifers:  Medium & Large Frame 1   400 to 450 lbs. 96.25 to - - -  Medium & Large Frame 2   400 to 450 lbs. 86.50 to - - - Slaughter Cows, Boners 43.50   to   50 Light Weight 28 to 34 Bulls, Yield Grade   1   1000   to   2100 lbs.   53   to   58, high dressing $58-63 Midwest Steers   were steady to $1 higher   at   81   to   83 Panhandle Steers   remained   at   83   to   - - - Oklahoma City Feeders Steers 500 to 550 lbs. 106.50 to 121   550 to 600 lbs. 102.50 to 116.50 Heifers 500 to 550 lbs. 89 to 101   550 to 600 lbs. 85.50 to 102 Chicago Futures: Live Cattle: Apr up 5 at 8432   Jun down 27 at 8157 Feeders: May down 65 at 9430   Sep down 62 at 9772 Cattle Comment Cattle futures were lower again today. Weakness in crude oil and strength in the value of the dollar were factors. Demand concerns continue to plague the market as well. Retailers report it is difficult to keep beef moving through the pipeline. Heavier weight cattle are coming to market as well, meaning more choice cuts are available. Hogs Peoria: were     steady   at   34.5   to   35 Chicago Futures: Apr down 5 at 6047   Jun down 37 at 7140 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hogs were mostly lower on continued demand worries. A sharp drop in cutout values this week is expected to curtail packer demand. Poultry  Date: March 27, 2009 Eggs New York:  Ex. Lg. 114-118; Lg. 112-116; Med. 86-90; Chicago:  Ex. Lg. 94-102; Lg. 92-100; Med. 77-85; Eastern Region Turkeys Hens: 8-16 lbs. 74-77 Toms: 16-24 lbs. 74-77   Delmarva Broilers U.S. Grade A Trade sentiment was steady at best. Demand entering the weekend was no better than fair with trading usually limited to regular commitments. Supplies of all sizes were mostly sufficient to satisfy 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 2009 Arkansas Farm Bureau, Inc. All rights reserved Terms of Use