01/27/2010 Farm Bureau Market Report

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Grain & Soybean Date: January 27, 2010 Soybeans Local Elevators: (Jan) EAST AR:  886 to 898 (NC) Summ. 863 to 885 River Elevators: (Jan) MISS: 904 to 942 ; AR & White 889 to 899 (NC) Summ. 863 to 895 Ark. Processor Bids: (Jan) 899 to 901  (NC) 872 to 873 Memphis:  (Jan) 944 to 946 (NC)  897 1/4 to - - - Riceland Foods:  (Jan/Feb) Stuttgart 901 ; Pendleton 898 ; West Memphis 942 Chicago Futures: Mar down 18 1/2 at  929   May  down  18 1/2  at  938 1/2   July down 18 1/2  at  945 1/2   Sept down 14 3/4  at  924 3/4   Nov down 14  at  915 1/4   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans were sharply lower as potential banking reforms could weigh on liquidity in the futures market. There are also rumors that China may have rejected a couple of loads of soybeans – this concern has been building as the potential for the South American crop continued to grow. Early harvest yields are good and that may be enough confirmation for the market. March closed below support just above $9.40 while November fell below uptrend support around $9.20. Both suggest further declines are probable, with the next support for November at $8.88. Wheat Cash bid for January at Memphis  423 3/4 to 453 3/4; Bids to farmers at Local Elevators 450-462; River Elevators 451-485; Chicago Futures: Mar down  10 1/4  at  483 3/4    May down 10  at  497 3/4    July down  10 1/4  at  509 1/2    Sept down  10  at  525    Dec down  9  at  552    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for January at Memphis  640 to - - -; Bids to farmers at River Elevators 498-573; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for January at Memphis   358 1/4 to - - -;   New crop at Memphis   315 1/4 to 373 1/4; Bids to farmers at River Elevators  331 to 352 Chicago Futures: Mar down  4  at  358 1/4    May down  4  at  369 1/4    Sept down  4 1/4  at  385 1/4    Dec down  3 3/4  at  391 3/4    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat ended lower. Technically, wheat is oversold and due a rebound, but poor demand probably points to further declines. Any rebound will be limited and short lived, unless last week’s export sales become the norm instead of the exception. Recent weakness in the Euro makes wheat from the Black Sea region tough to compete with in the global marketplace. March could retest support around $4.60. Corn declined with both March and September testing key support. March closed just below $3.60 while September fell to $3.85. Failure to hold here could see further declines of as much as 40 cents. Cotton & Rice  Date: January 27, 2010 Cotton Spot Price, Grade 41 Staple 34: Memphis down 59 at  6523   Greenwood down  59 at 6523 New York Futures: Mar down  59  at  6923    May down  55  at  7061    July down  42  at  7168    Oct down  44  at  7086    Dec down  56  at  7099  This week's LDP rate for cotton is  0 cents   The estimate for next week is  0 cents Cotton Comment Cotton trended lower today with March holding above 69 cents and December closing near 71 cents. Losses of another penny or more could be seen. The market is very nervous about world economic conditions and the Chinese government tightening of available credit. As long as that situation persists, it will be difficult to move cotton substantially higher. The market sees little need to bid cotton higher with the current declines being seen in corn and soybeans. Rice Long Grain Cash Bid for  Jan/Feb 1300/cwt  to  - - -   - - - - - -  to  - - - Chicago Futures: Mar down  10 1/2  at  1400 1/2    May down  11  at  1429    July down  10  at  1453    Sept down  10  at  1358    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice closed about 10 cents lower despite indication USDA will be making purchases for Haiti. In addition, Iraq has floated a tender for 120,000 metric tonnes or more for March/April delivery. That would be another good shot in the arm if the U.S. can secure that tender. Otherwise, the international market is steady and fairly quiet. An offer of Thai intervention stocks has been virtually ignored as price offered was well above other Asian offerings. Recent futures movement should have established the low end of the trading range for the time being. Cattle & Hogs  Date: January 27, 2010 Cattle As reported by Federal-State Market News, receipts were 1060 head at sales in Conway and Pocahontas.  Compared with last week, feeder steers sold steady to firm . Steers:  Medium & Large Frame 1   400 to 450 lbs. 113.25 to - - -   500 to 550 lbs. 104.25 to - - -   600 to 650 lbs. 97 to - - -  Medium & Large Frame 2   400 to 450 lbs. 95 to - - - Heifers:  Medium & Large Frame 1   500 to 550 lbs. 90 to - - -  Medium & Large Frame 2   400 to 450 lbs. 87.75 to - - - Slaughter Cows, Boners 43   to   47.50 Light Weight 27 to 32 Bulls, Yield Grade   1   1400   to   2300 lbs.   55   to   61.50 Midwest Steers   were steady   at   84   to   - - - Panhandle Steers   were   at   84   to   - - - Oklahoma City Feeders Steers 500 to 550 lbs. 108.50 to 114   550 to 600 lbs. 103 to 110 Heifers 500 to 550 lbs. 94.75 to 98.50   550 to 600 lbs. 92.75 to 97 Chicago Futures: Live Cattle: Feb down 15 at 8537   April down 35 at 8897 Feeders: Mar down 45 at 9852   May down 25 at 10057 Cattle Comment Cattle futures couldn’t sustain early gains and turned lower before the close. Last week’s trade indicates a temporary top has been made and February could trade back near $84 before stabilizing. Hogs Peoria: were     steady   at   39   to   41 Chicago Futures: Feb up 10 at 6657   April up 27 at 6895 Sheep St. Paul n/a   at   - - -   to   - - - Hogs Comment The long-term uptrend in hog futures remains intact, but the market is looking toppy. Support for February is near $65.25 in the form of an up trendline drawn off the August low. Poultry  Date: January 27, 2010 Eggs New York:  Ex. Lg. 136-140; Lg. 134-138; Med. 106-110; Chicago:  Ex. Lg. 129-137; Lg. 127-135; Med. 98-106; Eastern Region Turkeys Hens: 8-16 lbs. 76 Toms: 16-24 lbs. 76   Delmarva Broilers U.S. Grade A The market tone was steady. Demand was fair to moderate with limited features to aid interest. Supplies of all sizes were mostly sufficient to handle trade needs. 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 2010 Arkansas Farm Bureau, Inc. All rights reserved Terms of Use