12/02/2009 Farm Bureau Market Report

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Grain & Soybean Date: December 2, 2009 Soybeans Local Elevators: (Dec) EAST AR:  992 to 1010 (NC) Summ. 1001 to - - - River Elevators: (Dec) MISS: 1021 to 1039 ; AR & White 995 to 1006 (NC) Summ. 1018 to 1054 Ark. Processor Bids: (Dec) 1002 to 1005  (NC) 1021 to 1036 Memphis:  (Dec) 1029 to 1034 (NC)  991 1/2 to - - - Riceland Foods:  (Dec) Stuttgart 1005 ; Pendleton 1010 ; West Memphis 1023 Chicago Futures: Jan '10 down 25 1/2 at  1034   Mar '10  down  25  at  1041   Jul '10 down 23 1/4  at  1052 1/4   Aug '10 down 22 1/4  at  1049 1/2   Nov '10 down 17  at  1031 1/2   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment The selloff that began yesterday afternoon continued today in the soybean pit. Profit taking on long positions resulted in sharp losses. There is no firm confirmation of a top, yet, though. The recent high of $10.78 now becomes the first level of resistance. The market appears to be overpriced based on fundamentals and could be subject to a quick set back. Export business, particularly from China, has supported the market, but an expected record large crop from South America will probably curtail demand for U.S. supplies. Corn was lower as well. The market can't seem to sustain upward momentum above $4. Weather should allow for continued harvest activities, however high moisture levels are a problem. Most farmers are waiting for moisture levels to fall before harvesting, and elevators are limiting the amount of high moisture grain they will take. Wheat Cash bid for December at Memphis  491 to 536; Bids to farmers at Local Elevators 536-540; River Elevators 530-563; Chicago Futures: Dec down  8  at  554 1/2    Mar '10 down 8  at  576    May '10 down  8  at  588 1/2    Jul '10 down  7 1/2  at  598 1/4    Sep '10 down  8  at  612 1/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for December at Memphis  690 to 703; Bids to farmers at River Elevators 583-658; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for December at Memphis   384 1/2 to 391 1/2;   new crop at Memphis   361 1/2 to 401 1/2; Bids to farmers at River Elevators  360 to 392 Chicago Futures: Dec down  8  at  391 3/4    Mar '10 down  8  at  406 1/2    Jul '10 down  7 1/2  at  425 1/4    Dec '10 down  6 1/2  at  438    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat turned lower. Without carryover strength from other grains, wheat can’t sustain upward momentum. Wheat is plentiful worldwide and the recent rally has priced US wheat out of the market for most buyers. December has resistance at the recent high of $5.81. Cotton & Rice  Date: December 2, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis up 34 at  6882   Greenwood up  34 at 6882 New York Futures: Dec up  3  at  6968    Mar '10 up  9  at  7357    May '10 up  15  at  7483    Jul '10 up  13  at  7562    - - -   - - -  at  - - -  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Cotton was also lower. March has resistance just under 76 cents, and support beginning at Friday’s low of 72.80 cents. With beans and corn at current price levels, cotton will have to exceed these levels to entice acreage. Rice Long Grain Cash Bid for  Dec 1421/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Jan '10 down  1 1/2  at  1541    Mar '10 down  1 1/2  at  1569    May '10 down  1  at  1594 1/2    Jul '10 unchanged    at  1619    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice futures ended a bit higher and remained in a consolidation pattern that has contained trading for about a month. The market has upside potential if the international situation remains volatile. The Phillipines have issued a number of big import tenders which have kept the international market on edge. In addition, India is expected to need to import rice at some point. However, they are expected to take a more subtle approach than the Phillipines. Thailand continues to control a large amount of intervention stocks which could be released into the market at some point. U.S. milled prices remain slightly above other offerings and as of yet little new business has resulted. Cattle & Hogs  Date: December 2, 2009 Cattle As reported by Federal-State Market News, receipts were 1,584 head at sales in Fort Smith & Heber Springs.  Compared with last week, feeder steers sold $2-4 higher . Steers:  Medium & Large Frame 1   400 to 450 lbs. 110.75 to - - -   500 to 550 lbs. 99.50 to - - -   600 to 650 lbs. 90.75 to - - -  Medium & Large Frame 2   400 to 450 lbs. 93.75 to - - - Heifers:  Medium & Large Frame 1   400 to 450 lbs. 92.50 to - - -  Medium & Large Frame 2   400 to 450 lbs. 82.50 to - - - Slaughter Cows, Boners 37   to   42.50 Light Weight 26 to 32 Bulls, Yield Grade   1   1000   to   2100 lbs.   50   to   57.50, high dress 58-62 Midwest Steers   were $1 lower   at   82   to   - - - Panhandle Steers   were quoted   at   83   to   84 Oklahoma City Feeders Steers 500 to 550 lbs. 107.50 to 115.50   600 to 650 lbs. 88 to 97 Heifers 550 to 600 lbs. 86 to 93.75   n/a to - - - lbs. - - - to - - - Chicago Futures: Live Cattle: Dec down 45 at 8210   Feb '10 down 55 at 8427 Feeders: Jan '10 up 47 at 9395   Mar '10 up 72 at 9447 Cattle Comment Cattle futures ended mixed. Expectations for larger market ready cattle supplies and weaker beef demand continue to limit the upside potential of the market. Live December set a new contract low and February has nearby support at $84.60. Hogs Peoria: were $1     higher   at   33   to   35 Chicago Futures: Dec up 45 at 5967   Feb '10 down 30 at 6665 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hog futures were mixed. Futures already hold a wide premium to cash prices and that could limit the upside. Friday’s high of $68.05 is the first level of resistance for February. Poultry  Date: December 2, 2009 Eggs New York:  Ex. Lg. 127-131; Lg. 125-129; Med. 101-105; Chicago:  Ex. Lg. 121-129; Lg. 119-127; Med. 97-105; Eastern Region Turkeys Hens: 8-16 lbs. 86-89 Toms: 16-24 lbs. 86-89   Delmarva Broilers U.S. Grade A The market tone was steady. Demand was fair to moderate with trading usually limited to regular commitments. Supplies of all sizes were 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