TDA Market Recap, Jan. 2, 2017

Source: Texas Department of Agriculture
For the two-week holiday ending Jan. 2, 2017, Texas feeder cattle auction prices are not available as all reporting locations remained closed through the New Year. Texas Weekly Direct feeder cattle sales reported steady prices. Feeder cattle weekly cash sales were reported at $118 per cwt for Texas, Oklahoma, and New Mexico for the week ending Dec. 30. Texas formula trades picked up $6.84 over the holiday break. Wholesale beef values experienced a sharp increase as well for both choice and select grades. Weekly export sales for the week of Dec. 16 to 22 totaled 10,000 metric tons (MT) for 2016 and were up 18 percent from the previous week and 52 percent from the prior four-week average. Increases were reported for Hong Kong, South Korea and Japan. Exports totaled 18,700 MT–a marketing-year high—and were up 14 percent from the previous week and 18 percent from the prior four-week average. The primary destinations were Japan, South Korea and Hong Kong.
Cotton prices were uneven after the two weeks, with cash prices dropping 0.75 cents to close at 68.75 cents per pound and March futures picking up 0.52 cents to close at 70.65 cents per pound. Net upland sales totaled 343,200 round bales (RB) for 2016/2017 and were up 24 percent from the previous week and 15 percent from the prior four-week average. Increases were reported for China, Vietnam and Turkey. Exports totaled 267,900 RB–a marketing-year high—and were up 28 percent from the previous week and 36 percent from the prior four-week average. The primary destinations were China, Vietnam and Turkey.
Wheat prices were higher after the two week break with cash prices picking up six cents to close at $3.05 per bushel and March futures picking up 10 cents to close at $4.19 per bushel. Net sales totaled 568,100 MT for delivery in marketing year 2016-2017 and were up 91 percent from the previous week and 25 percent from the prior four-week average. Increases were reported for China, Mexico and South Korea. Exports totaled 481,900 MT and were up 17 percent from the previous week and 18 percent from the prior four-week average. The primary destinations were Mexico, Thailand and China.
Corn prices were higher with cash prices picking up three cents to close at $3.39 per bushel and March futures picking up a nickel to close at $3.52 per bushel. Corn net sales totaled 958,600 MT for 2016-2017 and were down 23 percent from the previous week and 24 percent from the prior four-week average. Increases were for Mexico, Japan and Peru. Exports totaled 992,000 MT and were up 27 percent from the previous week and five percent from the prior four-week average. The primary destinations were Mexico, South Korea and Japan.
This week’s U.S. Drought Monitor for Texas showed worsening drought conditions for the state, with 24.15 percent of Texas still in some stage of drought intensity, up 3.65 percentage points from last week. Additionally, 1.77 percent of the state remains in severe, extreme, or exceptional drought, down 0.17 percentage points from three months ago. On the national level, drought conditions improved, with 50.81 percent of the U.S. experiencing abnormal dryness or some degree of drought, down four percentage points from last week.
Additional information on agricultural weather, crop progress and agricultural markets can be found on the TDA Market News page.

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 TexasAgriculture.gov.