10/12/2009 Farm Bureau Market Report

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Grain & Soybean Date: October 12, 2009 The market report is shorter today due to the Columbus Day holiday. The next full report will be published on Tuesday, October 13. Soybeans Local Elevators: (Oct) EAST AR:  n/a to - - - (NC) Summ. n/a to - - - River Elevators: (Oct) MISS: n/a to - - - ; AR & White n/a to - - - (NC) Summ. n/a to - - - Ark. Processor Bids: (Oct) n/a to - - -  (NC) n/a to - - - Memphis:  (Oct) n/a to - - - (NC)  n/a to - - - Riceland Foods:  (Oct/Nov) Stuttgart 991 ; Pendleton 1001 ; West Memphis 1019 Chicago Futures: Nov up 35 at  999   Jan '10  up  33  at  1000   Mar '10 up 32 1/2  at  1000 1/2   Jul '10 up 29 1/4  at  993   Nov '10 up 30  at  979   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans showed strong followthrough on last week’s late gains. Delayed harvest activities and the potential yield losses from last week’s freezing temperatures sent November up the $10 level. There is little doubt that Friday’s USDA report will be the high for the year. Yield and quality will be trimmed in future reports. November could test resistance near $10.20 and perhaps even $10.66 if outside markets continue to provide support. December corn pushed above the early August high of $3.76 and could be moving to retracement objectives at $3.88 and $4.08. Weather is a big factor as some areas of the upper Midwest saw substantial snowfall. More rain and bad weather is forecast for this week. Last week’s report trimmed planted acreage, while raising yield and boosting the ’09 crop above 13 billion bushels. That is likely the high water mark, considering potential losses to weather. Wheat Cash bid for October at Memphis  n/a to - - -; Bids to farmers at Local Elevators n/a; River Elevators n/a; Chicago Futures: Dec up  26 1/4  at  494 1/4    Mar '10 up 25 3/4  at  513 1/4    May '10 up  24 1/2  at  526 1/4    Jul '10 up  23 3/4  at  540    Sep '10 up  22 1/2  at  553 3/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for October at Memphis  n/a to - - -; Bids to farmers at River Elevators n/a; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for October at Memphis   n/a to - - -;   new crop at Memphis   n/a to - - -; Bids to farmers at River Elevators  n/a to - - - Chicago Futures: Dec up  19  at  381 1/4    Mar '10 up  18 1/2  at  393    Jul '10 up  17 1/4  at  407 3/4    Dec '10 up  14 1/4  at  419 1/2    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat followed corn and soybeans higher today. Friday’s USDA report added additional bearish news, as wheat stocks were increased to 888 million bushels. The market is oversold, however, and wheat is heavily discounted against other commodities based upon historical relationships. It is possible that bearish fundamentals are fully factored in to prices at this level. Technically December gapped above resistance around $4.80, but will have additional resistance between $5 and $5.15. Cotton & Rice  Date: October 12, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis  n/a at  - - -   Greenwood   n/a at - - - New York Futures: Dec up  166  at  6468    Mar '10 up  157  at  6720    May '10 up  148  at  6832    Jul '10 up  130  at  6942    - - -   - - -  at  - - -  This week's LDP rate for cotton is  4.66 cents   The estimate for next week is  3.59 cents Cotton Comment December cotton closed sharply higher closing just under 65 cents and very near resistance around 65.5 cents. Last week’s report lowered the ’09 production number, domestic use and ending stocks. It didn’t take into account the probable losses that have been lost to weather over the first half of October. While demand hasn’t improved stocks will tighten. Delays in harvest are going to result in further deterioration of this year’s crop. The next upside retracement objective is 70.5 cents and that becomes the target with a close above the recent high. Rice Long Grain Cash Bid for  Oct/Nov 1290/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Nov up  39 1/2  at  1379 1/2    Jan '10 up  39 1/2  at  1405    Mar '10 up  38 1/2  at  1429    May '10 up  37 1/2  at  1453    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice resumed the upturn in the market that was seen prior to Friday’s report. That report raised production estimates in almost all areas except Arkansas. Arkansas's yield was unchanged, given recent weather it would seem yield will be impacted along with quality. Harvest activity remains well behind and it doesn’t look like there will be much happening this week. November futures are in position to test resistance at recent highs near $14.25. Cattle & Hogs  Date: October 12, 2009 Cattle As reported by Federal-State Market News, receipts were n/a head at sales in n/a.  Compared with last week, feeder steers n/a . Steers:  Medium & Large Frame n/a   - - - to - - - lbs. - - - to - - -   - - - to - - - lbs. - - - to - - -   - - - to - - - lbs. - - - to - - -  Medium & Large Frame n/a   - - - to - - - lbs. - - - to - - - Heifers:  Medium & Large Frame n/a   - - - to - - - lbs. - - - to - - -  Medium & Large Frame n/a   - - - to - - - lbs. - - - to - - - Slaughter Cows, Boners n/a   to   - - - Light Weight to - - - Bulls, Yield Grade   n/a   - - -   to   - - - lbs.   - - -   to   - - - Midwest Steers   were $2 lower to steady   at   79   to   82 Panhandle Steers   were steady to $1 higher   at   81   to   82 Oklahoma City Feeders Steers n/a to - - - lbs. - - - to - - -   n/a to - - - lbs. - - - to - - - Heifers n/a to - - - lbs. - - - to - - -   n/a to - - - lbs. - - - to - - - Chicago Futures: Live Cattle: Dec up 35 at 8530   Feb up 27 at 8620 Feeders: Nov down 30 at 9417   Jan '10 steady at 9502 Cattle Comment Cattle prices ended mixed. Packers are currently losing about $25 per head due to poor demand. High unemployment and cheap pork are preventing retail prices from moving higher. Hogs Peoria: were $1     lower   at   27   to   29 Chicago Futures: Dec up 105 at 5382   Feb '10 up 52 at 5952 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hog prices continue to have difficulty moving higher, but continue to trade in a range between 48 and 52. Hog prices continue to be under pressure from weak cash fundamentals. The weaker dollar is sparking optimism that export demand will improve. Poultry  Date: October 12, 2009 Eggs New York:  Ex. Lg. n/a; Lg. n/a; Med. n/a; Chicago:  Ex. Lg. n/a; Lg. n/a; Med. n/a; Eastern Region Turkeys Hens: 8-16 lbs. n/a Toms: 16-24 lbs. n/a   Delmarva Broilers U.S. Grade A The market tone was about steady. Supplies of all sizes were moderate to satisfy current trade needs. In production areas, live supplies were moderate at desirable to heavy 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