TDA Market Recap, April 10, 2017

For the week ending April 7, 2017, Texas feeder cattle auctions reported mixed prices with instances of steady to $5 higher and steady to $5 lower. Texas Weekly Direct reported prices steady to $4 lower. Wholesale beef values were lower, with Choice grade losing $6.21 to end at $207.22 per hundredweight (cwt) and Select grade losing $3.86 to end at $197.49 per cwt.
For the time period of March 20-26 the USDA NASS Field Office reported that livestock producers in the plains and the Blacklands were still supplementing cattle on range. Most cattle were in good condition. Although some of the pasture dried out due to the warm weather and strong winds, the pasture and range conditions were rated mostly good to fair.
For the time period of March 24-30, 2017 exporters reported net sales of 19,300 metric tons (MT), which were up 78 percent from the previous week and 32 percent from the prior four-week average. Increases were reported primarily for Japan, Mexico and Hong Kong. Exports totaled 12,900 MT and were down 11 percent from the previous week and 6 percent from the prior four-week average. The primary destinations were Japan, South Korea and Mexico.
Cotton prices were uneven at the end of last week, with cash prices remaining at 73.50 cents per pound and May futures losing 2.01 cents to end at 73.46 cents per pound. The USDA NASS Field Office reported that cotton planting continued in the Lower Valley and the Upper Coast. Producers in the Northern districts of the state continued field preparations for cotton planting. Net upland sales totaled 270,000 running bales (RB) and were down 31 percent from the previous week and 16 percent from the prior four-week average. Increases were reported primarily for Turkey, India and Vietnam. Exports totaled 447,300 RB and were up 14 percent from the previous week and 9 percent from the prior four-week average. The primary destinations were Vietnam, China and Pakistan.
Wheat prices were higher at the end of last week, with cash and May futures both gaining 3 cents to end at $3.37 per bushel and $4.22 per bushel, respectively. The USDA NASS Field Office reported that winter wheat was rated 72 percent fair to good. Some wheat fields in the Southern Low Plains showed signs of moisture stress, but the dry conditions extended to most of the Northern parts of the state, the Edwards Plateau and South Texas. Net sales totaled 568,400 MT and were up 23 percent from the previous week and 48 percent from the prior four-week average. Increases were reported primarily for Taiwan, Algeria and South Korea. Exports totaled 564,900 MT and were up 14 percent from the previous week and 2 percent and from the prior four-week average. The destinations were primarily Mexico, Japan and Indonesia.
Corn prices were lower at the end of last week with cash prices losing 7 cents to end at $3.55 per bushel and May futures losing 8 cents to end at $3.60 per bushel. The USDA NASS Field Office reported that corn planting continued across the state. Corn in the Blacklands was emerging and producers were fertilizing fields. Net sales totaled 1,138,100 MT and were up 59 percent from the previous week and 13 percent from the prior four-week average. Increases were reported for Mexico, Colombia and Japan. Exports totaled 1,597,700 MT–a marketing-year high—which were up 14 percent from the previous week and 11 percent from the prior four-week average. The primary destinations were Colombia, Japan and Mexico.
Grain Sorghum cash prices were lower and the end of last week, losing 13 cents to end at $5.31 per cwt. The USDA NASS Field Office reported that sorghum planting was underway in South Texas. Net sales totaled 130,200 MT and were up noticeably from the previous week and 50 percent from the prior four-week average. Increases were reported primarily for China, Mexico and Taiwan. Exports totaled 220,500 MT and were up noticeably from the previous week and from the prior four-week average. The primary destinations were China, Mexico and Taiwan.
Milk prices were lower at the end of last week, with April Class III milk futures losing 46 cents to end at $15.10 per cwt.
This week’s U.S. Drought Monitor for Texas showed a vast improvement in drought conditions for the state, with 17.51 percent of Texas still in some stage of drought intensity, down 27.43 percentage points from last week. On the national level, drought conditions improved, with 29.73 percent of the U.S. experiencing abnormal dryness or some degree of drought, down 5.86 percentage points from last week.

MBF = thousand board feet.
All 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 Texas direct sales of 650-850 pound medium and large No.1 steers for current delivery. Futures prices are quoted for the nearest month contract on the last trading day of the week. Timber prices are from the Texas A&M Forest Service, bimonthly “Texas Timber Price Trends.”
For additional information, contact TDA at (800) 835-5832 or visit www.TexasAgriculture.gov.