TDA market recap: Nov. 16
AUSTIN -- For the week ending Nov. 16, Texas auctions reported feeder cattle prices were mostly steady with a few as much as $4 higher per hundredweight (cwt), but some as much as $6 lower. Texas direct feeder cattle sales were mostly steady. Tight cattle supplies and grain prices, which were much lower than a year ago, continued to support the market. Fed cattle cash prices were $1 per cwt higher compared to the previous week. Wholesale beef values were lower. Weekly beef export sales totaled 11,800 metric tons, well above the prior four-week average. For the year, sales are running 16 percent below last year’s pace.
Cotton prices were lower due to the advancing harvest and concerns that China will soon begin selling cotton from its massive reserves. Cotton export sales for the week were 472,700 bales, the highest weekly total since June 2012 and more than three times higher than the weekly average needed to meet U.S. Department of Agriculture (USDA) projections for the marketing year. Grain sorghum prices were higher, but corn was lower, as the record-large U.S. crop continues to weigh on the market. Prices came under additional pressure at the end of the week after the U.S. Environmental Protection Agency (EPA) announced a proposal to lower the renewable fuel standard for 2015, which could reduce the amount of corn needed for ethanol production. Weekly corn export sales totaled in the 1.2 million metric tons, higher than expected and about four times higher than the weekly average needed to meet USDA projections for the marketing year. Wheat prices were lower due to large world supplies, continued favorable weather in the United States and lower than expected weekly export sales.
Futures markets were higher for feeder cattle, fed cattle, cotton, and lumber, but lower for corn and wheat. Very little rain fell statewide last week with totals of one-quarter inch or less in scattered locations.
Texas Cash Markets for the week ending Nov. 16:
•Feeder steers, $183.69/cwt
•Fed cattle, $132/cwt
•Slaughter lambs, $160/cwt
•Slaughter goats, $201/cwt
•Grain sorghum, $7.42/cwt
•Cabbage, $7/50 lbs.
•Feeder cattle, $165.15/cwt
•Fed cattle, $133.40/cwt
•Lumber, $378.30/1000 bd ft.
The cash prices above are market averages for locations covered by the USDA Market News program and do not reflect any particular sale at any specific location.
Feeder cattle prices are for 500-600 pound medium and large No. 1 steers at the Oklahoma City National Stockyards. Futures prices are quoted for the nearest month contract on the last trading day of the week.
For more information, contact the Texas Department of Agriculture at 1-800-835-5832 or visit the website, http://www.TexasAgriculture.gov.