12/17/2009 Farm Bureau Market Report

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Grain & Soybean Date: December 17, 2009 Soybeans Local Elevators: (Dec) EAST AR:  977 to 996 (NC) Summ. 992 to - - - River Elevators: (Dec) MISS: 1006 to 1027 ; AR & White 979 to 989 (NC) Summ. 1004 to 1037 Ark. Processor Bids: (Dec) 986 to 990  (NC) 1003 to 1017 Memphis:  (Dec) 1024 to 1027 (NC)  959 to 964 Riceland Foods:  (Dec) Stuttgart 990 ; Pendleton 996 ; West Memphis 1009 Chicago Futures: Jan '10 down 37 1/2 at  1022   Mar '10  down  37  at  1030   Jul '10 down 35 1/4  at  1041 3/4   Nov '10 down 30 1/2  at  999   Jan '11 down 30 1/4  at  1007   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans took a big hit that was largely due to another strong showing by the dollar. Other outside markets were lower as funds bailed out. Strong exports did little to slow the downturn. January futures dropped to the lowest level in almost a month, and is testing key trendline support. The next support is between $9.50 and $9.60. November 2010 dropped below the all important $10 level with the next support at $9.50. This could be the beginning of a major downward correction. Corn export sales were notably higher in this week’s support, but that was small consolidation in the face of major weakness. March futures closed below $4 and could test support near $3.80. Fundamentals were not much of a factor as outside markets and the dollar created sell pressure. Wheat Cash bid for December at Memphis  458 1/2 to 483 1/2; Bids to farmers at Local Elevators 481-485; River Elevators 475-508; Chicago Futures: Mar '10 down  18 3/4  at  518 1/2    May '10 down 18 3/4  at  532    Jul '10 down  18 1/4  at  543 1/4    Sep '10 down  17  at  559    Dec '10 down  17 1/4  at  582 1/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for December at Memphis  707 to - - -; Bids to farmers at River Elevators 567-642; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for December at Memphis   367 to 368;   new crop at Memphis   352 3/4 to 392 3/4; Bids to farmers at River Elevators  345 to 367 Chicago Futures: Mar '10 down  13 1/4  at  397    Jul '10 down  12 3/4  at  416 3/4    Sep '10 down  12 3/4  at  422 3/4    Dec '10 down  12 1/2  at  429 3/4    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat was mostly lower at mid-day, trailing big losses in soybeans. Upside potential remains limited, but for now July is expected to move between $5.55 and $6.20. Slow export demand will limit upside potential. Cotton & Rice  Date: December 17, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis down 51 at  7099   Greenwood down  51 at 7099 New York Futures: Mar '10 down  51  at  7574    May '10 down  78  at  7626    Jul '10 down  78  at  7656    Oct '10 down  105  at  7596    - - -   - - -  at  - - -  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Cotton dropped back from recent highs as the overall mood in ag commodities weakened. Outside markets were negative and cotton was destined to follow the grains and soybeans lower. Cotton needs to be higher relative to beans and corn to pull more acres in 2010, and that can happen in at least two ways – rising faster than beans and corn, or declining slower. Rice Long Grain Cash Bid for  Dec 1360/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Jan '10 down  56  at  1480    Mar '10 down  56 1/2  at  1508    May '10 down  54  at  1531 1/2    Jul '10 down  46 1/2  at  1555    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice futures suffered a second day of sharp losses that may be attributed to reports that India will not be importing rice this year. Last week’s USDA report acknowledged a big reduction in this year’s crop in India, but projected little or no imports, as India apparently will use reserve stocks to bridge the production gap. Sharp gains over the last several weeks were the result of big tenders by the Philippines and anticipation of future needs by India. Technically, January will test support between $14.40 and $14.60. The next support is a $ lower. Cattle & Hogs  Date: December 17, 2009 Cattle As reported by Federal-State Market News, receipts were 3,661 head at sales in Charlotte, Ratcliff & Green Forest.  Compared with last week, feeder steers sold mostly firm to $4 higher . Steers:  Medium & Large Frame 1   400 to 450 lbs. 111.50 to - - -   500 to 550 lbs. 100.25 to - - -   600 to 650 lbs. 93.50 to - - -  Medium & Large Frame 2   400 to 450 lbs. 99.50 to - - - Heifers:  Medium & Large Frame 1   400 to 450 lbs. 92 to - - -  Medium & Large Frame 2   400 to 450 lbs. 84.75 to - - - Slaughter Cows, Boners 38   to   45 Light Weight 32 to 38 Bulls, Yield Grade   1   1000   to   2100 lbs.   50   to   58, high dressing 59-63 Midwest Steers   remained   at   81   to   - - - Panhandle Steers   were $2 lower   at   79   to   - - - 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 down 70 at 8142   Feb '10 down 35 at 8455 Feeders: Jan '10 up 112 at 9397   Mar '10 up 85 at 9417 Cattle Comment Cattle futures were mixed. Holiday shortened slaughter opportunities will limit feedlots ability to push the market higher. Technically, resistance is seen just under 85 cents. Improving beef cutout values suggest the market has bottomed, but it may take a while for it to show significant improvement. January feeders could test resistance between $93.50 and $94.50. Hogs Peoria: were $1     higher   at   36   to   38 Chicago Futures: Feb '10 down 127 at 6555   Apr '10 down 127 at 6975 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hogs turned lower again today. February futures will need to move above recent resistance just above $68 to keep the current uptrend intact. Concern about export movement could limit upside potential. Poultry  Date: December 17, 2009 Eggs New York:  Ex. Lg. 127-131; Lg. 125-129; Med. 100-104; Chicago:  Ex. Lg. 121-129; Lg. 119-127; Med. 90-98; Eastern Region Turkeys Hens: 8-16 lbs. 84-87 Toms: 16-24 lbs. 84-87   Delmarva Broilers U.S. Grade A The market tone was fully steady to firm. Demand was moderate to instances fairly good with most interest focused on holiday meat items. Supplies were usually sufficient to well balanced for 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