TDA Market Recap, Feb. 6, 2017

For the week ending Feb. 3, 2017, Texas feeder cattle auctions reported prices steady to $10 lower. Texas Weekly Direct reported prices $3 to $7 lower, with instances of up to $9 lower. Wholesale Beef values were uneven, with Choice Grade losing $1.95 to close at $191.40 per hundredweight (cwt) and Select Grade gaining $1.00 to close at $189.93 per cwt. For the time period of Jan. 20-26, 2017, exporters reported net sales of 19,100 metric tons (MT), which were down 12 percent from the previous week. Increases were reported primarily for Japan, South Korea and Hong Kong. Exports totaled 15,400 MT, which were up 20 percent from the previous week. The primary destinations were Japan, South Korea and Mexico.
Cotton prices were higher at the end of last week, with cash prices gaining 0.50 cents to close at 72.50 cents per pound and March futures gaining 2.27 cents to close at 76.41 cents per pound. Net upland sales totaled 328,700 round bales (RB) for 2016-2017, and were down 28 percent from the previous week but up eight percent from the prior four-week average. Increases were reported primarily for India, Turkey and China. Exports totaled 354,500 RB and were up 56 percent from the previous week and 55 percent from the prior four-week average. The primary destinations were China, Vietnam and Indonesia.
Wheat prices were higher at the end of last week, with cash and March futures prices both gaining 15 cents to close at $3.33 per bushel and $4.41 per bushel, respectively. Net sales totaled 242,500 MT for delivery in the 2016-2017 marketing year and were down 38 percent from the previous week and 33 percent from the prior four-week average. Increases were reported for Mexico, Japan and Nigeria. Exports totaled 394,800 MT and were up noticeably from the previous week and six percent from the prior four-week average. The primary destinations were Mexico, Nigeria and the Philippines.
Corn prices were higher at the end of last week, with cash and March futures both gaining 7 cents to close at $3.59 per bushel and $3.65 per bushel, respectively. Net sales totaled 1,143,700 MT for 2016-2017, and were down 17 percent from the previous week but up 21 percent from the prior four-week average. Increases were primarily reported for Colombia, Japan and Taiwan. Exports totaled 764,600 MT and were down 22 percent from the previous week and five percent from the prior four-week average. The primary destinations were Mexico, Japan and Malaysia.
Grain sorghum cash prices were higher at the end of last week, gaining 14 cents to close at $5.40 per cwt. Net sales totaled 58,800 MT, and were down 23 percent from the previous week but up 59 percent from the prior four-week average. Increases were reported for Japan, Mexico and Indonesia. Exports totaled 200,200 MT and were up 61 percent from the previous week and 91 percent from the prior four-week average. The primary destinations were China, Mexico and Nigeria.
Milk prices were higher at the close of last week, with February Class III milk futures gaining 31 cents to close at $16.87 per cwt.
This week’s U.S. Drought Monitor for Texas showed a slight improvement in drought conditions for the state, with 7.66 percent of Texas still in some stage of drought intensity. On the national level, drought conditions improved slightly as well, with 31.98 percent of the U.S. experiencing abnormal dryness or some degree of drought.

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.