TDA Market Recap, July 18, 2016

Source: Texas Department of Agriculture
For the week ending July 15, 2016, Texas feeder cattle auctions reported prices steady to $14 higher with instances of $1 to $8 lower. Texas Weekly Direct reported prices steady to $9 higher. Wholesale Beef values were lower, with Choice Grade losing $3.99 to close at $205.00 per hundredweight (cwt) and Select Grade losing $3.02 to close at $192.38 per cwt.
For the time period of July 4-10, the USDA NASS Field Office reported that cattle were in good condition throughout the state. Range and pastures conditions were beginning to decline due to hot dry weather. Supplemental feeding continued in areas of South Texas and the Lower Valley.
Cotton prices were higher at the end of last week, with cash prices gaining 5.25 cents to close at 71.12 cents per pound and October futures prices gaining 5.72 cents to close at 73.86 cents per pound. The USDA NASS Field Office reported that cotton continued to progress throughout the state as producers irrigated crops in areas of the Northern High Plains and Lower Valley. For the time period of July 1-7, exporters reported net upland sales totaling 55,200 round bales (RB) for 2015-2016, which were down 73 percent from the previous week and 55 percent from the prior four-week average. Increases were reported for Indonesia, India and Vietnam. Exports totaled 148,700 RB, which were down 52 percent from the previous week and 29 percent from the prior four-week average. The primary destinations were Vietnam, China and Mexico.
Wheat prices were mixed at the end of last week, with cash prices losing $0.03 to close at $3.17 per bushel and September wheat futures gaining $0.13 to close at $4.14 per bushel. The USDA NASS Field Office reported that the Winter Wheat harvest neared completion in areas of the Southern High Plains. In the Blacklands, wheat and oat harvest was complete. Producers in the Northern High Plains were spraying and plowing fields. Net sales totaled 317,700 MT for 2016-2017, which were down 62 percent from the previous week and 53 percent from the prior four-week average. Increases were reported for Mexico, Chile and Japan. Exports totaled 341,300 MT, which were down 36 percent from the previous week and 32 percent from the prior four-week average. The primary destinations were China, Mexico and Guatemala.
Corn prices were higher at the end of last week, with cash prices gaining $0.03 to close at $3.45 per bushel and September corn futures gaining $0.13 to close at $3.52 per bushel. The USDA NASS Field Office reported that corn was drying down in areas of the Blacklands and Upper Coast, while producers prepared for harvest in South Texas. Harvest was progressing well in the Lower Valley.
Sorghum harvest was in full swing in areas of the Upper Coast and neared completion in the Lower Valley. Net sales of 667,800 metric tons (MT) for 2015-2016, which were up 81 percent from the previous week and two percent from the prior four-week average. Increases were reported for Japan, South Korea and Peru. Exports totaled 1,242,600 MT, which were down two percent from the previous week and nine percent from the prior four-week average. The primary destinations were Japan, Mexico and South Korea.
Grain sorghum cash prices were higher gaining $0.07 to close at $5.13 per cwt. Milk prices were higher at the close of last week, with July Class III milk futures gaining $0.14 to close at $15.33 per cwt.
This week’s U.S. Drought Monitor for Texas showed a slight worsening in drought conditions for the state, with 6.03 percent of Texas still in some stage of drought intensity, up 3.10 percentage points from last week. Additionally, none of the state remains in severe, extreme or exceptional drought. On the national level.