12/28/2009 Farm Bureau Market Report

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Grain & Soybean Date: December 28, 2009 Soybeans Local Elevators: (Dec) EAST AR:  984 to 1003 (NC) Summ. 999 to - - - River Elevators: (Dec) MISS: 1013 to 1034 ; AR & White 986 to 996 (NC) Summ. 1006 to 1044 Ark. Processor Bids: (Dec) 992 to 997  (NC) 1009 to 1019 Memphis:  (Dec) 1036 to - - - (NC)  975 to 980 Riceland Foods:  (Dec) Stuttgart 997 ; Pendleton 1003 ; West Memphis 1016 Chicago Futures: Jan '10 up 29 1/2 at  1029   Mar '10  up  30  at  1038   Jul '10 up 29 1/4  at  1048 1/4   Nov '10 up 20 3/4  at  1010   Jan '11 up 20 3/4  at  1018 1/4   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans started the last week of ’09 on a strong note. January futures retraced a good portion of recent declines and climbed back above old support at $10.20. There seems to be little fundamental reason for the increase as the outlook for production in South America is excellent. U.S. sales are near 85% of the USDA projection for the year and are likely to be much less vigorous in the coming months. There seems to be a general feeling that index funds will be big buyers after the 1st of the year and this may have prompted short covering by the other funds. Needless to say this market remains extremely volatile and difficult to predict, but producers should begin to lock in 2010 price levels with November above $10. Corn made strong gains with March moving back near resistance at $4.20. Like soybeans, there seems to be little fresh news to move the market. Unharvested corn remains a potential problem that could reduce overall ’09 production. September corn at $4.40 or higher looks like a good pricing opportunity. Wheat Cash bid for December at Memphis  490 3/4 to 511 3/4; Bids to farmers at Local Elevators 513-517; River Elevators 507-540; Chicago Futures: Mar '10 up  26 1/4  at  550 3/4    May '10 up 26  at  564    Jul '10 up  25 1/4  at  575    Sep '10 up  25 1/4  at  589 1/2    Dec '10 up  24  at  612 1/2    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for December at Memphis  746 to - - -; Bids to farmers at River Elevators 601-676; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for December at Memphis   384 to - - -;   new crop at Memphis   370 to 418; Bids to farmers at River Elevators  364 to 386 Chicago Futures: Mar '10 up  7 1/2  at  416    Jul '10 up  6 1/2  at  434 3/4    Sep '10 up  6  at  440    Dec '10 up  5 1/2  at  445 3/4    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat jumped out of the consolidation area that developed the last two weeks and registered big gains. There is little in the fundamentals to give wheat this upside momentum. However, it appears July has developed strong support at $5.40 and will trade between this point and the recent high around $6.20. A close below $5.40 would suggest a move to $4.90 or perhaps lower. Cotton & Rice  Date: December 28, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis up 217 at  7135   Greenwood up  217 at 7135 New York Futures: Mar '10 up  217  at  7582    May '10 up  213  at  7668    Jul '10 up  193  at  7725    Oct '10 up  140  at  7634    - - - up  - - -  at  - - -  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Cotton rallied to close with strong gains and appears to be aligned with soybeans and corn. As suggested earlier, cotton will likely have to strengthen relative to soybeans and corn in order to pull more acres in 2010. Old crop March pushed to recent resistance near 76.5 cents before registering a minor selloff. New crop December remains well below resistance at 78 cents. Rice Long Grain Cash Bid for  Dec/Jan 1350/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Jan '10 up  2 1/2  at  1470    Mar '10 up  2 1/2  at  1499 1/2    May '10 up  5  at  1524 1/2    Jul '10 up  5  at  1548 1/2    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice was slightly higher as the market is attempting to hold above old support at $14.50. Questions remain about the final U.S. long grain production number. It appears there is ample rice to meet current needs. The international market may remain in turmoil for a while. Tenders from the Philippines boosted the market over the first couple of weeks in December. Enough so, that it prompted reports that India would utilize existing stocks instead of importing rice. For now, January futures appear to have resistance at the recent top just below $16, while attempting to build support around $14.50. Cattle & Hogs  Date: December 28, 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 quoted   at   78   to   82 Panhandle Steers   were quoted   at   80   to   83.50 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 60 at 8367   Feb '10 up 62 at 8537 Feeders: Jan '10 up 90 at 9552   Mar '10 up 112 at 9495 Cattle Comment Cattle made good gains today as packers are trying to cover a full slaughter schedule. Weather has slowed weight gains and reduced available stocks. However, beef demand is uncertain and weak operating margins may limit buying. Feeder futures could work toward resistance at $97.50. Hogs Peoria:     steady   at   39   to   40 Chicago Futures: Feb '10 up 90 at 6470   Apr '10 up 95 at 6930 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hogs were higher for the day as the market bounced off late week support near $64. Good packer margins should encourage buying despite the fact most of this week’s needs are covered. Poultry  Date: December 28, 2009 Eggs New York:  Ex. Lg. 118-120; Lg. 116-120; Med. 95-97; Chicago:  Ex. Lg. 108-116; Lg. 106-114; Med. 77-85; Eastern Region Turkeys Hens: 8-16 lbs. 75-83 Toms: 16-24 lbs. 75-83   Delmarva Broilers U.S. Grade A The market tone was firm. Demand following the holiday weekend was moderate to fairly good with most assessing needs and monitoring market conditions. Supplies of all sizes were balanced to short with many plants running another week of reduced schedules as New Years approaches. In production areas, live supplies were moderate at 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