TDA Market Recap, July 5, 2017

For the week ending June 30, 2017, Texas feeder cattle auctions reported mixed prices, with instances of steady to $10 higher and $2 to $6 lower. Texas Weekly Direct reported prices steady to $6 higher. Wholesale Beef values were lower at the end of the week, with Choice Grade losing $13.84 to end at $224.73 per hundredweight (cwt) and Select Grade losing $9.24 to end at $208.42 per cwt.
For the time period of June 19-25, the USDA NASS Field Office reported that livestock was mostly in good condition across the state. Producers in the Northern High Plains were continuing to discover respiratory complications in cattle affected by the large wildfires in early March. Flies and other insects were becoming a problem for livestock in Northeast Texas, the Cross Timbers and Blacklands. Pasture and range condition was mostly fair to good. Wildfire was a concern in the Low Plains. Feral hogs were damaging the corn fields in Northeast Texas.
For the time period of June 16-22, U.S. exporters reported net sales of 11,200 metric tons (MT), which were down 33 percent from the previous week and 12 percent from the prior four-week average. Increases were reported for Japan, Taiwan and South Korea. Exports totaled 14,900 MT, and were up nine percent from the previous week and eight percent from the prior four-week average. The primary destinations were Japan, South Korea and Mexico.
Cotton prices were higher at the close of last week, with cash prices gaining 1.25 cents to end at 69.50 cents per pound and July futures gaining 1.63 cents to end at 75.31 per bushel. The USDA NASS Field Office reported that high winds and blowing sand were taking a toll on cotton seedlings in the Northern High Plains. Early planted irrigated cotton was entering the squaring stage in the Southern High Plains. Lack of moisture in areas of the Northern Low Plains was affecting cotton emergence and causing serious damage to emerged plants. Some cotton fields in the Upper Coast were having worm issues. Net upland sales totaled 261,300 running bales (RB) and were up 56 percent from the previous week and up noticeably from the prior four-week average. Increases were reported for Vietnam, China and India. Exports totaled 249,600 RB, which were down four percent from the previous week and 15 percent from the prior four-week average. The primary destinations were Turkey, Vietnam and Indonesia.
Wheat prices were higher at the close of last week, with cash prices gaining 59 cents to close at $4.61 per bushel and July futures gaining 58 cents to end at $5.11 per bushel. The USDA NASS Field Office reported that wheat harvest continued in areas of the Northern High Plains. The rest of the state was almost done with small grains harvest. Net sales totaled 492,100 MT and were reported primarily for Mexico, Indonesia and the Philippines. Exports totaled 750,800 MT and were reported to Indonesia, Mexico and Japan.
Corn prices were higher at the close of last week, with cash prices gaining 11 cents to close at $3.70 per bushel and July Corn futures gaining 12 cents to close at $3.71 per bushel. The USDA NASS Field Office reported that corn was tasseling in the Northern High Plains. Corn silage harvest was in full swing in the Cross Timbers. Net sales totaled 316,200 MT and were down 40 percent from the previous week and 33 percent from the prior four-week average. Increases were reported for Mexico, Japan and China. Exports totaled 1,020,800 MT and were down 16 percent from the previous week and 14 percent from the prior four-week average. The primary destinations were Mexico, Japan and South Korea.
Grain sorghum cash prices were higher at the close of last with cash prices gaining 20 cents to end at $5.58 per cwt. The USDA NASS Field Office reported that dryland sorghum was being planted in the Northern High Plains. Sorghum was coloring in the Blacklands and Upper Coast. Sorghum harvest was underway in the Coastal Bend. Worm infestations damaged soybeans in scattered areas of the Blacklands. Net sales totaled 2,000 MT and were reported for China. Exports totaled 74,800 MT, which were up 17 percent from the previous week and nine percent from the prior four-week average. The destinations were China, Japan and Mexico.
Milk prices were lower at the close of last week, with July Class III milk futures losing 17 cents to end at $15.72 per cwt.
This week’s U.S. Drought Monitor for Texas showed improving drought conditions for the state, with 23.52 percent of Texas still in some stage of drought intensity, down 3.83 percentage points from last week. On the national level, drought conditions worsened slightly, with 21.60 percent of the U.S. experiencing abnormal dryness or some degree of drought, up 2.10 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.