05/22/2009 Farm Bureau Market Report

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Grain & Soybean Date: May 22, 2009 Due to Memorial Day Holiday, there will not be a market update until Tuesday, May 25. Soybeans Local Elevators: (May) EAST AR:  1155 to 1170 (NC) Summ. 981 to 994 River Elevators: (May) MISS: 1166 to 1190 ; AR & White 1155 to 1170 (NC) Summ. 980 to 1114 Ark. Processor Bids: (May) 1159 to 1170  (NC) 991 to - - - Memphis:  (May) 1193 to - - - (NC)  1019 1/2 to 1021 1/2 Riceland Foods:  (May) Stuttgart 1170 ; Pendleton 1170 ; West Memphis 1190 Chicago Futures: July down 9 at  1166   Sept  up  5 1/4  at  1076 1/4   Nov up 8  at  1031 1/2   Jan '10 up 8 1/4  at  1033 1/4   Mar '10 up 10 1/4  at  1022 1/4   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Most soybean contracts continued to move higher with new crop leading the way. Unwinding of bull spreads pressured old crop contracts which ended the session lower. Planting delays and lower projections of ending stocks for both 08/09 and 09/10 contributed farther strength. November moved above resistance at $10.38 but failed to close above that level. The market left a series of gaps this week, which could be a sign the market is ready to top. The Relative Strength Index indicates the market is technically overbought and due a correction. Wheat Cash bid for May at Memphis  531 1/2 to 532 1/2; Bids to farmers at Local Elevators 512-524; River Elevators 508-538; Chicago Futures: July up  19  at  612 1/2    Sept up 19  at  638 1/2    Dec up  19  at  661    Mar '10 up  18 1/2  at  676 1/2    May '10 up  17 3/4  at  684 3/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for May at Memphis  617 to - - -; Bids to farmers at River Elevators 537-617; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for May at Memphis   420 1/4 to 425 1/4;   New crop at Memphis   408 1/4 to - - -; Bids to farmers at River Elevators  393 to 418 Chicago Futures: July up  6 1/4  at  430 1/4    Sept up  6 1/2  at  440 1/4    Dec up  6 1/2  at  452    Mar '10 up  6 1/4  at  461 3/4    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Corn moved in the same range that has persisted the last two weeks. However, December closed above $4.50 and that is positive. Upside momentum appears to have been stymied by good planting conditions in the Eastern Cornbelt. By the start of next week, most of the corn should be planted- acreage is expected to be near earlier projections, but yield could be hurt. Wheat was sharply higher as concerns about total production ramped up speculative buying. It appears index funds are looking at the weaker dollar and a smaller wheat crop as reasons to invest in that area. Cotton & Rice  Date: May 22, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis up 58 at  5336   Greenwood up  58 at 5336 New York Futures: July up  33  at  5711    Oct up  41  at  5946    Dec up  34  at  6038    Mar '10 up  22  at  6249    - - -   - - -  at  - - -  This week's LDP rate for cotton is  7.11 cents   The estimate for next week is  7.12 cents Cotton Comment Cotton ended the week on a steady to firm note with December closing above 60 cents. Currently support is just above 58 cents. Current resistance is the recent high of 63.75 cents. It remains to be seen how this year’s crop will develop, but the start is off the charts and that could impact yield. Longer term, it will be the economy, U.S. and world, that determines trend in use, and this export demand. Rice Long Grain Cash Bid for  n/a - - -  to  - - -   n/a - - -  to  - - - Chicago Futures: July down  7  at  1205 1/2    Sept up  3  at  1225    Nov up  7  at  1232    Jan '10 up  7  at  1251    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice closed mixed with old crop July lower for the day. Overall trading remains in the narrow range that has contained trading for the last 3 months or so. Delayed planting and weather impacts on this year’s U.S. crop could keep yields down, and thus reduce projected production. But that is a ways down the road, right now the market must deal with building world stocks. Thailand offered about 3.7 mmt of intervention stocks for sale with about half of that being taken by local exporters. Vietnam is now officially back in the export market and India is expected to have excess supplies. So, look for the rice market to be very competitive. Cattle & Hogs  Date: May 22, 2009 Cattle As reported by Federal-State Market News, receipts were 6,625 head at sales in Arkansas this week.  Compared with last week, feeder steers sold weak to $3 lower . Steers:  Medium & Large Frame 1   400 to 450 lbs. 113 to - - -   500 to 550 lbs. 106 to - - -   600 to 650 lbs. 100 to - - -  Medium & Large Frame 2   400 to 450 lbs. 104 to - - - Heifers:  Medium & Large Frame 1   500 to 550 lbs. 94 to - - -  Medium & Large Frame 2   400 to 450 lbs. 90 to - - - Slaughter Cows, Boners 45   to   51 Light Weight 32 to 39 Bulls, Yield Grade   1   1000   to   2100 lbs.   58   to   64 Midwest Steers   n/a   at   - - -   to   - - - Panhandle Steers   n/a   at   -- -   to   - - - Oklahoma City Feeders Steers 500 to 550 lbs. 111.50 to 127.50   550 to 600 lbs. 108 to 120 Heifers 500 to 550 lbs. 95.50 to 107.50   550 to 600 lbs. 94 to 106.50 Chicago Futures: Live Cattle: June steady at 8252   Aug up 55 at 8377 Feeders: Aug up 25 at 10192   Sept up 5 at 10215 Cattle Comment Cattle futures were mostly higher as cash market fundamentals improved. Fund buying also included cattle as investors looked for bargains as a weaker dollar contributes to ideas of inflation. Hogs Peoria: were 50¢ to $1.50     lower   at   33.5   to   34 Chicago Futures: June down 75 at 6597   Aug down 87 at 6862 Sheep St. Paul n/a   at   - - -   to   - - - Hogs Comment Hogs closed higher after packer margins moved to the positive side. Cash markets are expected to improve further after the 3 day holiday. Poultry  Date: May 22, 2009 Eggs New York:  Ex. Lg. 91-95; Lg. 89-93; Med. 65-69; Chicago:  Ex. Lg. 63-71; Lg. 61-69; Med. 52-60; Eastern Region Turkeys Hens: 8-16 lbs. 77-80 Toms: 16-24 lbs. 77-80   Delmarva Broilers U.S. Grade A Trade sentiment was firm. Demand was at least moderate to good entering the Memorial holiday weekend. Supplies of all sizes were well cleared to short to satisfy current trade needs. In productions 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