06/02/2009 Farm Bureau Market Report

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Grain & Soybean Date: June 02, 2009 Soybeans Local Elevators: (Jun) EAST AR:  1192 to 1207 (NC) Summ. 1033 to 1047 River Elevators: (Jun) MISS: 1214 to 1227 ; AR & White 1186 to 1201 (NC) Summ. 1033 to 1067 Ark. Processor Bids: (Jun) 1202 to 1207  (NC) 1043 to 1044 Memphis:  (Jun) 1229 to 1234 (NC)  1070 1/2 to - - - Riceland Foods:  (Jun) Stuttgart 1207 ; Pendleton 1207 ; West Memphis 1227 Chicago Futures: Jul down 9 1/2 at  1209   Sep  down  6  at  1115   Nov down 3 1/2  at  1082 1/2   Jan '10 down 1  at  1087 1/2   Mar '10 down 1  at  1081   Today's Arkansas LDP rate for soybeans is: 0¢ Soybean Comment Soybeans rallied in late trade to partially reverse early losses. While planting remains behind the 5 year average, significant progress was made last week. While rain may be a problem in some areas, more progress is expected this week. Weakness in the $ continues to be supportive but other outside factors tended to be less of an influence. Technically, the market remains overbought and subject to downward pressures in the near term. Corn made late gains and closed on a positive note. Yesterday’s crop progress report indicated significant gains were made the past week. In a bit of a surprise, the first crop rating was 70% good to excellent. Both old and new crop contracts are testing key resistance. Wheat Cash bid for June at Memphis  594 1/2 to - - -; Bids to farmers at Local Elevators 570-581; River Elevators 553-595; Chicago Futures: Jul down  5  at  669 1/2    Sep down 4 1/2  at  696 1/2    Dec down  3 1/2  at  719 1/2    Mar '10 down  3 3/4  at  734 1/2    May '10 down  1  at  746 1/4    Today's Arkansas LDP rate for wheat is: 0¢ Grain Sorghum Cash bid for June at Memphis  674 to - - -; Bids to farmers at River Elevators 596-676; Today's Arkansas LDP rate for sorghum is: 0¢ Corn Cash bid for June at Memphis   439 1/2 to 445 1/2;   new crop at Memphis   427 3/4 to - - -; Bids to farmers at River Elevators  413 to 438 Chicago Futures: Jul up  3 3/4  at  449 1/2    Sep up  4  at  459 3/4    Dec up  3 1/2  at  472 3/4    Mar '10 up  4  at  483    Today's Arkansas LDP rate for corn is: 0¢ Grain Comment Wheat trimmed early declines but remained on the negative side at the close. Slow spring crop planting progress and a declining crop rating are supportive factors. The market remains technically overbought. Cotton & Rice  Date: June 02, 2009 Cotton Spot Price, Grade 41 Staple 34: Memphis up 86 at  5490   Greenwood up  86 at 5490 New York Futures: Jul up  34  at  5813    Oct down  n/a  at  - - -    Dec up  42  at  5750    Mar '10 up  75  at  6445    n/a   - - -  at  - - -  This week's LDP rate for cotton is  7.59 cents   The estimate for next week is  7.24 cents Cotton Comment Cotton extended recent gains and continued movement toward resistance at the recent high of 63.75 cents. Above that is the next retracement objective 69.2 cents. Fundamentally, ample world stocks could limit international demand and nullify part of the impact of this year’s weather. Acreage and yields are likely to be below current USDA projections, but remain ample for next year’s expected use. Rice Long Grain Cash Bid for  n/a - - -  to  - - -   n/a - - -  to  - - - Chicago Futures: Jul down  9 1/2  at  1247 1/2    Sep down  10 1/2  at  1271    Nov down  10  at  1278    Jan '10 down  12  at  1290    - - -   - - -  at  - - -  Today's Arkansas LDP rate for long grain rice is  0¢ medium grain rice is  0¢ Rice Comment Rice closed lower but new crop contracts held above the trading range that was broken yesterday. As long as trading remains above $12.60 for September, the market would be expected to move toward the next resistance located between $13.40 and $14. Inability to get rice planted in some areas of the mid-South and the overall lateness of the crop suggests production will be less than the trendline number being used by USDA. Caution should be taken with respect to how high producers push the market before pricing. The Relative Strength Index value is already approaching an overbought level. In addition, world supplies and therefore export competition are ample. Cattle & Hogs  Date: June 02, 2009 Cattle As reported by Federal-State Market News, receipts were 1,972 head at sales in Fort Smith & Heber Springs.  Compared with last week, feeder steers sold weak to $3 lower . Steers:  Medium & Large Frame 1   400 to 450 lbs. 113 to - - -   500 to 550 lbs. 104 to - - -   600 to 650 lbs. 98 to - - -  Medium & Large Frame 2   400 to 450 lbs. 100 to - - - Heifers:  Medium & Large Frame 1   400 to 450 lbs. 98 to - - -  Medium & Large Frame 2   400 to 450 lbs. 90 to - - - Slaughter Cows, Boners 42   to   48 Light Weight 27 to 32 Bulls, Yield Grade   1   1000   to   2100 lbs.   54   to   60.50, high dressing 60.50-64 Midwest Steers   were $2 lower to $2 higher   at   82   to   - - - Panhandle Steers   were $1 lower to $1.50 higher   at   82   to   - - - Oklahoma City Feeders Steers 600 to 650 lbs. 102.75 to 105.50   650 to 700 lbs. 102 to 107 Heifers 500 to 550 lbs. 100 to 106.50   600 to 650 lbs. 97.25 to 99.50 Chicago Futures: Live Cattle: Aug down 100 at 8065   Oct down 130 at 8595 Feeders: Aug down 300 at 9717   Sep down 300 at 9732 Cattle Comment Cattle futures tumbled after further pressure was seen in hogs. Struggles in the pork sector relate to the overall economic situation and that is weight on beef. Consumers are buying less of the higher end cuts, a trend which is expected to continue in the near term. That translates into lower demand and contributed to limit declines in feeder futures. The next support for June live cattle is less than a dollar below today’s close at the contract low of $18.60. Hogs Peoria: were     steady   at   33.5   to   34 Chicago Futures: Jul down 300 at 6215   Aug down 300 at 6305 Sheep St. Paul sheep shorn slaughter lambs   at   n/a   to   - - - Hogs Comment Hogs were down the limit in nearby contracts as June futures dipped below support at $60, suggesting further declines are probable. The next technical support is almost $4 below today’s close. Packer margins are well into the red at almost $8 per head. Supplies continue greater than expected based on the last quarterly pig crop report. Poultry  Date: June 02, 2009 Eggs New York:  Ex. Lg. 98-102; Lg. 96-100; Med. 65-69; Chicago:  Ex. Lg. 89-97; Lg. 87-95; Med. 56-64; Eastern Region Turkeys Hens: 8-16 lbs. 78-82 Toms: 16-24 lbs. 78-82   Delmarva Broilers U.S. Grade A Trade sentiment was mostly steady. Demand into all channels was fair to moderate with trading usually limited to regular commitments. Supplies of all sizes were sufficient to satisfy 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? 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