09/11/2009 Farm Bureau Market Report

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Grain & Soybean Date: September 11, 2009 Soybeans Local Elevators: (Sep) EAST AR:  876 to 892 (NC) Summ. 876 to 892 River Elevators: (Sep) MISS: 908 to 915 ; AR & White 876 to 898 (NC) Summ. 876 to 915 Ark. Processor Bids: (Sep) 886 to 888  (NC) 886 to 888 Memphis:  (Sep) 913 to - - - (NC)  913 to - - - Riceland Foods:  (Oct/Nov) Stuttgart 886 ; Pendleton 892 ; West Memphis 915 Chicago Futures: Nov down 23 1/2 at  903   Jan '10  down  23 1/2  at  910   Mar '10 down 23 1/4  at  915 1/2   Jul '10 down 21  at  920 3/4   Nov '10 down 11 1/4  at  899 1/4   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans took a big hit in the new crop contracts after USDA projected a 3.25 billion bushel crop on an average yield of 42.3 bushels per acre. That eventually sent November below the Tuesday low and briefly under $9. Further losses are likely unless weather intervenes. USDA offset the larger production number by increasing domestic crush 20 million bushels and exports 15 million bushels. Projected endings tocks rose 10 million bushels to 220 million. Corn production was up just under 200 million bushels. However, USDA adjusted 08/09 endings tocks down by 25 million bushels. Feed usage for 09/10 was bumped up 50 million bushels, and exports 100 million bushels. Net result was a 14 million bushels increase in projected 09/10 ending stocks. So despite the big crop potential, the market closed a little higher with December moving back near the $3.20 area. Longer term the market still has a downside propensity. Wheat Cash bid for September at Memphis  410 3/4 to 425 3/4; Bids to farmers at Local Elevators 381; River Elevators 403-426; Chicago Futures: Nov up  8 1/2  at  467 1/4    Mar '10 up 8 1/2  at  487    May '10 up  8 1/2  at  499 1/2    Jul '10 up  8 1/2  at  510 3/4    Sep '10 up  9  at  525 3/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for September at Memphis  580 to - - -; Bids to farmers at River Elevators 473-557; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for September at Memphis   314 3/4 to 316 3/4;   new crop at Memphis   n/a to - - -; Bids to farmers at River Elevators  287 to 310 Chicago Futures: Dec up  4 1/2  at  319 3/4    Mar '10 up  4 1/4  at  333    Jul '10 up  4 3/4  at  351 1/4    Dec '10 up  5  at  370 1/2    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat turned a bit higher today. This market is oversold and due a correction. Seasonally, the market rebounds after harvest, peaking in October or November, so we should be close to having the oversupply issue fully factored in to prices. Cotton & Rice  Date: September 11, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis up 32 at  5531   Greenwood up  32 at 5531 New York Futures: Oct up  32  at  5931    Dec up  32  at  6124    Mar '10 up  18  at  6358    May '10 up  8  at  6515    - - -   - - -  at  - - -  This week's LDP rate for cotton is  5.45 cents   The estimate for next week is  5.02 cents Cotton Comment Cotton held a portion of the big early gains to close slightly higher for the day. USDA increased 08/09 ending stocks 100,000 bales from the August report. They also raised exports 300,000 bales effectively holding ending stocks at 5.6 million bales. For the time being, cotton will continue to trade between 57 cents and 65.5 cents. Rice Long Grain Cash Bid for  Sep/Oct 1257  to  1300/cwt   Nov 1257/cwt  to  - - - Chicago Futures: Nov down  50  at  1352    Jan '10 down  50  at  1376    Mar '10 down  50  at  1400    May '10 down  48 1/2  at  1425    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice was sharply lower as USDA bumped overall production by 6.7 million cwt. In addition, slow exports in 08/09 resulted in an upward adjustment of 7.7 million cwt in ending stocks. So, available 08/09 long grain stocks were boosted to 190.8 million cwt, up 5.7 million cwt, as opposed to be lowered. Medium grain supply was raised 8.8 million cwt from August. That kicked futures in the teeth with most contracts down 50 cents and in position to test support between $13.40 and $13.30. Cattle & Hogs  Date: September 11, 2009 Cattle As reported by Federal-State Market News, receipts were 6,660 head at sales in Arkansas this week.  Compared with last week, feeder steers sold firm to $3 higher except heifers under 500 lbs sold steady to $2 lower . Steers:  Medium & Large Frame 1   400 to 450 lbs. 108 to - - -   500 to 550 lbs. 98 to - - -   600 to 650 lbs. 93.50 to - - -  Medium & Large Frame 2   400 to 450 lbs. 95.50 to - - - Heifers:  Medium & Large Frame 1   400 to 450 lbs. 93 to - - -  Medium & Large Frame 2   400 to 450 lbs. 95.50 to - - - Slaughter Cows, Boners 39   to   45 Light Weight 26 to 30 Bulls, Yield Grade   1   1000   to   2100 lbs.   50   to   58.50, high dressing $58.50-67 Midwest Steers   were steady to $2 higher   at   83   to   85 Panhandle Steers   were $2-2.50 higher   at   85   to   85.50 Oklahoma City Feeders Steers 500 to 550 lbs. 100 to 112.50   600 to 650 lbs. 96 to 110.50 Heifers 500 to 550 lbs. 92.50 to 103.50   600 to 650 lbs. 88 to 98.50 Chicago Futures: Live Cattle: Oct steady at 8722   Dec down 22 at 8692 Feeders: Oct down 45 at 9932   Nov down 60 at 9975 Cattle Comment Cattle futures turned lower. Futures’ premium to cash and the lack of cash trade so far this week weighed on prices. Firmer corn prices took their toll on feeder futures. Packers appear to be short of needs, which could prompt near term strength. October futures could head toward the 38% retracement objective above $88.30. Hogs Peoria: were       at   n/a   to   - - - Chicago Futures: Oct up 5 at 5247   Dec down 87 at 4982 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hogs turned lower again today. The market is still burdened by demand weakness. The USDA announced this week that they would buy more pork for government food aid, but that only provided support for a day or two. Poultry  Date: September 11, 2009 Eggs New York:  Ex. Lg. 96-100; Lg. 94-98; Med. 71-75; Chicago:  Ex. Lg. 83-91; Lg. 81-89; Med. 61-69; Eastern Region Turkeys Hens: 8-16 lbs. 78-82 Toms: 16-24 lbs. 78-82   Delmarva Broilers U.S. Grade A The market tone was about steady to steady. Retail and food service demand was light to moderate with trading usually limited to regular commitments. Supplies of all sizes were adequate to fully adequate 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