TDA Market Recap, June 6, 2016

Source: Texas Department of Agriculture
For the week ending June 03, 2016, Texas feeder cattle auctions reported prices steady to $8 higher. Texas Weekly Direct reported prices $1 to $4 higher. Wholesale Beef values were higher, with Choice grade gaining $1.94 to close at $223.28 per hundredweight (cwt) and Select grade gaining $0.06 to close at $201.43 per cwt. For the time period of May 20-26 exporters reported net sales of 10,000 metric tons (MT) for 2016, which were unchanged from the previous week, but down 32 percent from the prior four-week average. Increases were reported for South Korea, Taiwan and Japan. Exports totaled 13,100 MT, which were up one percent from the previous week and from the prior four-week average. The primary destinations were Japan, South Korea and Mexico.
Cotton prices were lower at the end of last week, with cash prices losing 1.25 cents to close at 59.62 cents per pound and July futures prices losing 1.07 cents to close at 62.87 cents per pound. Net upland sales totaled 124,900 round bales (RB) for 2015-2016, which were down three percent from the previous week, but up four percent from the prior four-week average. Increases were reported for Vietnam, China and Indonesia. Exports totaled 237,300 RB, which were unchanged from the previous week, but up four percent from the prior four-week average. The primary destinations were Vietnam, Turkey and Mexico.
Wheat prices were higher at the end of last week, with cash prices gaining 17 cents to close at $3.81 per bushel and July futures prices gaining 18 cents to close at $4.65 per bushel. Net sales totaled 107,400 MT for delivery in the 2015-2016 marketing year, which were up noticeably from the previous week, but down 33 percent from the prior four-week average. Increases reported for Yemen, Japan and Costa Rica. Exports totaled 394,100 MT, which were up 38 percent from the previous week and five percent from the prior four-week average. The primary destinations were Yemen, Thailand and Taiwan.
Corn prices were higher at the end of last week with cash prices gaining 10 cents to close at $4.10 per bushel and July futures gaining 10 cents to close at $4.15 per bushel. Net sales totaled 1,317,900 MT for 2015-2016, which were down five percent from the previous week, but up 12 percent from the prior four-week average. Increases were reported for Japan, Taiwan and Mexico. Exports totaled 752,300 MT, which were down 33 percent from the previous week and 36 percent from the prior four-week average. The primary destinations were Japan, Mexico and the Dominican Republic. Grain Sorghum cash prices were higher at the end of last week, gaining 17 cents to close at $6.25 per cwt.
Milk prices were lower at the close of last week, with June Class III milk futures gaining 27 cents to close at $13.07 per cwt.
This week’s U.S. Drought Monitor for Texas showed an improvement in drought conditions for the state, with only 1.38 percent of Texas still in some stage of drought intensity, down 1.32 percentage points from last week. Additionally, none of the state remains in severe, extreme, or exceptional drought. On the national level, drought conditions improved slightly, with 31.15 percent of the U.S. experiencing abnormal dryness or some degree of drought, down 0.67 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.