08/21/2009 Farm Bureau Market Report

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Grain & Soybean Date: August 21, 2009 Soybeans Local Elevators: (Aug) EAST AR:  n/a to - - - (NC) Summ. 946 to 965 River Elevators: (Aug) MISS: 996 to 1013 ; AR & White 958 to 983 (NC) Summ. 949 to 988 Ark. Processor Bids: (Aug) 959 to - - -  (NC) 954 to 959 Memphis:  (Aug) 995 to 1013 (NC)  988 to - - - Riceland Foods:  (NC) Stuttgart 959 ; Pendleton 965 ; West Memphis 988 Chicago Futures: Sep up 23 3/4 at  1023   Nov  up  16  at  973   Jan '10 up 16 1/4  at  975 3/4   Mar '10 up 15 1/4  at  974 3/4   Jul '10 up 12 1/2  at  972 1/2   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans got a boost from a weaker dollar and stronger equity markets. Strong demand in the form of Chinese buying has helped stem the recent downturn. A big Chinese purchase has been announced each day this week with a total of over 800,000 metric tons. The question is when China will stop buying, as the general feeling is they are front loading their soybean purchases. November could have significant resistance beginning around $9.90, with support around $9.40. Corn firmed but closed off the day’s highs. This year’s crop will be near record and will need strong demand to keep price at or near current levels. The key will be ethanol use, which means higher crude oil will be a positive for corn. Current support for December corn is $3.20 to $3.10, while resistance is $3.35 to $3.40. Wheat Cash bid for August at Memphis  315 1/4 to 355 1/4; Bids to farmers at Local Elevators n/a; River Elevators 267-340; Chicago Futures: Sep down  8 3/4  at  460 1/4    Dec down 9 1/4  at  487 1/4    Mar '10 down  8 3/4  at  506 3/4    May '10 down  8 1/2  at  519 1/4    Jul '10 down  8  at  531 3/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for August at Memphis  550 to 556; Bids to farmers at River Elevators 473-550; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for August at Memphis   317 3/4 to 321 3/4;   new crop at Memphis   n/a to - - -; Bids to farmers at River Elevators  296 to 319 Chicago Futures: Sep up  3 1/4  at  321 3/4    Dec up  2 1/4  at  326 1/4    Mar '10 up  2 1/4  at  339 1/2    Jul '10 up  3  at  358 1/4    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat futures remain under pressure from negative fundamentals. The spring wheat crop looks good, adding to the negative undertone. The trend remains lower and support at $4.55 could be back in the picture for December. Cotton & Rice  Date: August 21, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis down 17 at  5195   Greenwood down  17 at 5195 New York Futures: Oct down  17  at  5645    Dec down  12  at  5863    Mar '10 down  7  at  6112    May '10 down  9  at  6239    - - -   - - -  at  - - -  This week's LDP rate for cotton is  4.55 cents   The estimate for next week is  5.62 cents Cotton Comment Cotton again failed to muster much upside movement. Early gains gave way to a slightly lower close. Demand remains very light. Export projections for 09/10 are about 75% of 08/09 and that could slip lower. Total use at 13.7 is just over this year’s projected production. Improving economic conditions world wide are needed to improve demand. Technically, the market has significant resistance at 65-66 cents with support at 58 to 59 cents. Rice Long Grain Cash Bid for  Aug-Nov 1227/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Sep down  6 1/2  at  1312 1/2    Nov down  6  at  1338    Jan '10 down  4  at  1362    Mar '10 down  4 1/2  at  1386    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice futures traded a narrow range before closing slightly lower. This year’s crop size is still questionable. But beginning harvest activities, particularly in Texas and Louisiana, are likely to pressure a market that has had little active buying demand. Buyers remain on the sideline in a “wait and see” mode. November futures have completed a 38% retracement of June to August gains. Downside retracement objectives at $13.11 and $12.85 could come into play. Cattle & Hogs  Date: August 21, 2009 Cattle As reported by Federal-State Market News, receipts were 6,715 head at sales in Arkansas this week.  Compared with last week, feeder steers sold steady to $1 higher, heifers sold mostly steady . Steers:  Medium & Large Frame 1   400 to 450 lbs. 116 to - - -   500 to 550 lbs. 102.50 to - - -   600 to 650 lbs. 98 to - - -  Medium & Large Frame 2   400 to 450 lbs. 98.50 to - - - Heifers:  Medium & Large Frame 1   400 to 450 lbs. 101.50 to - - -  Medium & Large Frame 2   400 to 450 lbs. 90.75 to - - - Slaughter Cows, Boners 41   to   47 Light Weight 28 to 36 Bulls, Yield Grade   1   1000   to   2100 lbs.   53   to   59, high dressing 60.50-64 Midwest Steers   were $1-3 higher   at   81   to   83 Panhandle Steers   were $1-3 higher   at   81   to   83 Oklahoma City Feeders Steers 500 to 550 lbs. 101 to 116.50   600 to 650 lbs. 99 to 111.75 Heifers 500 to 550 lbs. 92 to 106.50   600 to 650 lbs. 87.50 to 104.25 Chicago Futures: Live Cattle: Oct down 22 at 8860   Dec down 45 at 8815 Feeders: Sep down 40 at 10070   Nov down 52 at 10077 Cattle Comment Cattle futures were mostly lower today. A tight supply situation is supporting the market. Beef prices, however, are being kept in check by weakness in the pork market. October has found support at $87.50 for the time being. Hogs Peoria: were     steady   at   23   to   25 Chicago Futures: Oct up 92 at 4785   Dec up 117 at 4732 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hog futures appear to be enjoying a technical bounce. The market had become oversold and due a rebound. However, pork values are at their lowest level in six years, and exports are down more than 20 percent from a year ago. Average weights are running high, suggesting that a backlog of market-ready hogs is building — bad news considering marketings always increase seasonally in the fall. Poultry  Date: August 21, 2009 Eggs New York:  Ex. Lg. 94-98; Lg. 92-96; Med. 66-70; Chicago:  Ex. Lg. 83-91; Lg. 81-89; Med. 58-66; Eastern Region Turkeys Hens: 8-16 lbs. 80-82 Toms: 16-24 lbs. 79.5-82   Delmarva Broilers U.S. Grade A The market tone was steady. Supplies of all sizes were sufficient to satisfy current trade needs. In production areas, live supplies were moderate at 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