TDA Market Recap, Dec. 11. 2017 

For the week ending Dec. 9, 2017, Texas feeder cattle auctions were uneven, reporting prices mostly lower, with instances of $2 to $7 lower and $2 to $10 higher. Texas Weekly Direct reported trade activity and demand as light-to-moderate, with prices from $4 to $7 lower. Wholesale Beef values were mixed at the end of the week, with Choice Grade losing $2.60 to close at $205.59 per hundredweight (cwt) and Select Grade gaining 43 cents to end at $185.97 per cwt. Fed cattle cash price live purchases traded 4.00 lower at 117.00 as trade and demand were light to moderate in the Texas Panhandle.
For the time period of Nov. 24-30, exporters reported net sales of 2,700 metric tons (MT) for 2017, which were down 81 percent from the previous week and 78 percent from the prior four-week average. Increases were reported for Japan, Canada, Mexico and Taiwan. Exports of 16,400 MT were up 15 percent from the previous week and 6 percent from the prior four-week average. The primary destinations were Japan, South Korea and Hong Kong.
Cotton prices were mixed at the close of last week, with cash prices closing steady at 71.75 cents per pound for the second week in a row and December futures losing 1.71 cents to end at 73.72 cents per bushel. Net sales of 186,600 running bales were reported for 2017-2018, down 33 percent from the previous week and 45 percent from the prior four-week average. Increases were reported for Pakistan, Vietnam and Turkey.
Wheat prices were lower at the close of last week, with cash prices losing 19 cents to close at $3.60 per bushel and December futures losing 20 cents to close at $4.01 per bushel. Net sales totaled 321,400 MT for delivery in the marketing year 2017-2018, which were up 74 percent from the previous week but down 22 percent from the prior four-week average. Increases were for Japan, Taiwan and Mexico. Exports of 396,400 MT were up 17 percent from the previous week and 41 percent from the prior four-week average.  The primary destinations were the Taiwan, South Korea and Mexico.
Corn prices were lower at the close of last week, with cash prices losing 2 cents to close at $3.60 per bushel and December futures losing 5 cents to close at $3.40 per bushel. Net sales of 876,400 MT for 2017-2018 were up 46 percent from the previous week but down 30 percent from the prior 4-week average. Increases were reported for Colombia, Mexico and Peru. Exports of 592,300 MT were primarily to Mexico, Colombia and Japan.
Grain sorghum cash prices remained steady at the close of last week, closing at $5.69 per cwt. Net sales of 406,600 MT for 2017/2018 — a marketing-year high — were up 24 percent from the previous week and 49 percent from the prior 4-week average. Increases were reported for China. Exports of 257,600 MT — a marketing-year high — were up 19 percent from the previous week and up noticeably from the prior four-week average. The destinations were China and Mexico.
Milk prices were higher at the close of last week, with December Class III milk futures gaining 28 cents to end the week at $15.60 per cwt.
This week’s U.S. Drought Monitor for Texas showed slightly moderate drought conditions for the state, with 72.4 percent of Texas still in some stage of drought intensity, up 1.13 percentage points from last week. On the national level, drought conditions worsened, with 47.62 percent of the U.S. experiencing abnormal dryness or some degree of drought, up 4.96 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 our website,www.TexasAgriculture.gov.