TDA Market Recap, June 1, 2015

For the week ending May 30, 2015, Texas auctions quoted feeder cattle prices mostly steady, with instances of sales ranging from $3 lower to $4 higher per hundredweight (cwt). Texas weekly direct feeder cattle sales were steady to $4 higher. Wholesale beef values were higher, with Choice Grade losing $6.08 to close at $254.99 per cwt and Select Grade losing $5.37 to close at $243.83 per cwt. Net export sales for May 15-24 were up 11 percent from the previous week. Export shipments were down three percent from the previous week, and shipments primarily went to Japan, Mexico and South Korea.
Cotton cash prices were one cent higher than the previous week and closed at 62.38 cents per pound. July futures prices settled at 64.35 cents per pound, 1.04 cents higher than last week. For the reporting period of May 18-24, the USDA NASS Texas field office published that cotton planting was at 29 percent, which is 21 points behind the normal amount. This is due to the continued rainfall our state has received. Net export cotton sales were up 98 percent from the previous week’s sales. Shipments were down 14 percent from the previous week but up 33 percent from the average.
Wheat cash prices lost 25 cents to settle at $4.54 per bushel, while futures prices lost 48 cents to settle at $4.77 per bushel. The USDA NASS Texas field office reported that 98 percent of the Texas wheat crop is in the heading stage, with 56 percent of the acreage in good-to-excellent condition. Eighty-seven percent of the Texas Winter Wheat crop remains in fair-to-excellent condition. Net export sales for wheat were down 43 percent from the previous week and down noticeably from the prior four-week average. Shipments were 34 percent higher than the previous week but 27 percent lower than the average.
Texas corn prices were mixed with cash prices up to $3.76 per bushel and futures prices down to $3.52 per bushel. The USDA NASS Texas field office reported 74 percent of the planted Texas corn crop has emerged, which is 13 percent below this same point last year. Seventy-seven percent of Texas corn acreage had been planted, which is up two percent from last week but down 19 percent from the same period last year. Corn export sales were down 19 percent from the previous week and eight percent from the four-week average. Export shipments were one percent lower than the previous week and seven percent lower than the average.
According to USDA NASS, thunderstorms moved across the state with many areas receiving measurable rainfall last week from trace amounts to upwards of 10 inches. Last week’s U.S. Drought Monitor for Texas showed a significant improvement in drought conditions for the state, with  just under 18 percent of Texas still experiencing some stage of drought intensity. Additionally, none of the state remains in severe, extreme or exceptional drought. On the national level, drought conditions improved slightly with more than 50 percent of the U.S. experiencing abnormal dryness or some degree of drought.
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 www.TexasAgriculture.gov.