10/22/2009 Farm Bureau Market Report

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Grain & Soybean Date: October 22, 2009 Soybeans Local Elevators: (Oct) EAST AR:  983 to 1012 (NC) Summ. 992 to - - - River Elevators: (Oct) MISS: 1017 to 1029 ; AR & White 979 to 989 (NC) Summ. 1005 to 1039 Ark. Processor Bids: (Oct) 999 to 1001  (NC) 1015 to - - - Memphis:  (Oct) 1025 1/2 to 1035 1/2 (NC)  n/a to - - - Riceland Foods:  (Oct/Nov) Stuttgart 1001 ; Pendleton 1012 ; West Memphis 1029 Chicago Futures: Nov down 3 at  1005 1/2   Jan '10  down  2 3/4  at  1007   Mar '10 down 1 1/4  at  1006 3/4   Jul '10 down 2 1/4  at  998 1/4   Nov '10 down 1 1/2  at  988   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment November soybeans rallied from early weakness to close almost steady and hold above $10. Continued wet weather across much of the soybean growing area continues to support prices. It is still unclear what effect this year’s weather will have on the crop size and quality. A premium has already been built into both the soybean and corn markets, so the million dollar question is how much more is the market willing to factor in. In addition to supply concerns, demand for soybeans remains strong. Basis levels at the Gulf increased again, as many companies are having difficulty getting the supplies and quality needed for contracts. Upside objectives near $10.20 and $10.66 remain viable, while support starts at $9.65 to $9.80. December corn moved higher again today, after breaking through the psychological barrier of $4. Continued weather concerns across the Midwest and increased speculative buying continues to fuel the current rally. While the fundamentals remain supportive for higher prices, technical indicators are pointing towards an over bought market, which could lead to some profit taking in the near term. Corn prices have support at $3.85. Wheat Cash bid for October at Memphis  391 3/4 to 406 3/4; Bids to farmers at Local Elevators 458; River Elevators 515-538; Chicago Futures: Dec up  9 1/4  at  551 3/4    Mar '10 up 9  at  569 1/4    May '10 up  8 3/4  at  580    Jul '10 up  8  at  588    Sep '10 up  5 3/4  at  595 3/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for October at Memphis  703 to 712; Bids to farmers at River Elevators 623-698; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for October at Memphis   398 1/2 to 400 1/2;   new crop at Memphis   362 1/4 to 402 1/4; Bids to farmers at River Elevators  378 to 395 Chicago Futures: Dec up  5 1/4  at  403 1/2    Mar '10 up  4 3/4  at  414 3/4    Jul '10 up  4 1/2  at  430 1/4    Dec '10 up  3 3/4  at  435    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat prices continue to show signs of life, despite bearish fundamentals. Strength from corn spilled over into the wheat market causing a further rally. This market continues to show signs of being overbought. A correction in the near term is not unlikely. Wheat prices have support at $5. Cotton & Rice  Date: October 22, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis up 17 at  6455   Greenwood up  17 at 6455 New York Futures: Dec up  17  at  6855    Mar '10 up  7  at  7068    May '10 down  1  at  7193    Jul '10 up  2  at  7303    - - -   - - -  at  - - -  This week's LDP rate for cotton is  2.56 cents   The estimate for next week is  .62 cents Cotton Comment Cotton managed a steady close for the day. Cotton harvest continues to lag behind previous years, with only 15% of fields harvested compared to a 5-year average of 35%. In addition, crop conditions remain relatively poor with less than 50% of the crop rated good to excellent, and only 36% of the Arkansas crop is good to excellent. While the weak dollar continues to be bullish for prices; continued weak demand will likely limit upside potential. Rice Long Grain Cash Bid for  Oct/Nov 1260  to  1320/cwt   - - - - - -  to  - - - Chicago Futures: Nov down  6  at  1354 1/2    Jan '10 down  5 1/2  at  1380    Mar '10 down  5  at  1404    May '10 down  2  at  1429    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice closed slightly lower. Rice prices are having difficulty finding any traction to move higher. The current USDA estimate (which won’t change till December) shows an increase in ending stocks, caused by strong yields, these estimates have many buyers on the sidelines waiting for lower prices that should come after harvest. Cattle & Hogs  Date: October 22, 2009 Cattle As reported by Federal-State Market News, receipts were 2,062 head at sales in Charlotte & Green Forest.  Compared with last week, feeder steers over 500 lbs firm to $5 higher, under 500 lbs. steady to $2 lower . Steers:  Medium & Large Frame 1   400 to 450 lbs. 108.75 to - - -   500 to 550 lbs. 99.50 to - - -   600 to 650 lbs. 92.25 to - - -  Medium & Large Frame 2   400 to 450 lbs. 99.50 to - - - Heifers:  Medium & Large Frame 1   400 to 450 lbs. 85.50 to - - -  Medium & Large Frame 2   400 to 450 lbs. 81.50 to - - - Slaughter Cows, Boners 38   to   44 Light Weight 26 to 33 Bulls, Yield Grade   1-2   1000   to   2100 lbs.   48   to   56, high dressing 56-60 Midwest Steers   were $.50-1 higher   at   85   to   85.50 Panhandle Steers   remained   at   84.50   to   - - - Oklahoma City Feeders Steers 500 to 550 lbs. 107 to 112   600 to 650 lbs. 90 to 95 Heifers 500 to 530 lbs. 87 to - - -   600 to 650 lbs. 81 to 87 Chicago Futures: Live Cattle: Dec up 30 at 8737   Feb up 32 at 8775 Feeders: Nov up 17 at 9640   Jan '10 down 5 at 9667 Cattle Comment Cattle futures were mostly higher today. The USDA reports that sales and prices are increasing in major Kansas and Texas/Oklahoma markets. Live December has upside objectives at the 50% retracement level of $87.13 and the 62% level of $87.98. Hogs Peoria: were     steady   at   28   to   30 Chicago Futures: Dec up 5 at 5372   Feb '10 up 12 at 6072 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hogs firmed again today. However, weak cash fundamentals continue to be a factor. Poultry  Date: October 22, 2009 Eggs New York:  Ex. Lg. 110-114; Lg. 108-112; Med. 88-92; Chicago:  Ex. Lg. 88-96; Lg. 86-94; Med. 75-83; Eastern Region Turkeys Hens: 8-16 lbs. 80-85 Toms: 16-24 lbs. 80-85   Delmarva Broilers U.S. Grade A The market tone was steady. Demand approaching the weekend was fair to moderate with light trading. Supplies of all sizes were sufficient to satisfy current trade needs. In production areas live supplies were moderate; at mixed, but 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