TDA Market Recap, Sept. 17, 2017

For the week ending Sept. 25, 2017, Texas feeder cattle auctions were mixed reporting prices steady to $5 higher with instances of steady to $3 lower. Texas Weekly Direct reported prices $2 to $6 higher. Wholesale Beef values were lower at the end of the week, with Choice Grade losing 14 cents to end at $191.42 per hundredweight (cwt) and Select Grade losing $4.53 to end at $185.85 per cwt.
For the time period of Sept. 4 – 10 the USDA NASS Field Office reported that producers in the Coastal Bend and the Upper Coast suffered livestock losses during the passing of Hurricane Harvey two weeks ago. Livestock in the rest of the state remained in mostly good condition. Pasture and range condition were rated good to fair statewide.
For the time period of Sept. 1-7 exporters reported net sales of beef totaling 14,700 metric tons (MT) and were up noticeably from the previous week, but down three percent from the prior four-week average. Increases were reported primarily for Hong Kong, Japan and South Korea. Exports totaled 12,800 MT and were down 27 percent from the previous week and from the prior four-week average. The primary destinations were Japan, South Korea and Mexico.
Cotton prices were lower at the close of last week with cash prices losing 3.75 cents to end at 69.50 cents per pound and October futures losing 3.58 cents to end at 70.13 cents per bushel. The USDA NASS Field Office reported that cotton development in the Northern High Plains made favorable progress thanks to the warm weather and setting bolls neared completion. Cotton harvest continued in South Texas and the Lower Valley. Net sales totaled 65,200 running bales (RB) for 2017-2018 and were reported primarily for Vietnam, South Korea and Mexico. Exports totaled 108,500 RB and were primarily to Mexico, Vietnam and China.
Wheat prices were higher at the close of last week with cash prices gaining 23 cents to close at $3.80 per bushel and December futures gaining 37 cents to close at $4.46 per bushel. The USDA NASS Field Office reported that winter wheat seedings started in the Plains and the Edwards Plateau. Net sales totaled 316,700 MT for delivery in the 2017-2018 marketing year and were down 16 percent from the previous week and 34 percent from the prior four-week average.  Increases were reported primarily for Colombia, Turkey and the Dominican Republic. Exports totaled 439,200 MT and were up 94 percent from the previous week, but down 12 percent from the prior four-week average. The primary destinations were Japan, Mexico and Colombia.
Corn prices were higher at the close of last week with cash prices gaining 3 cents to end at $3.57 per bushel and December corn futures gaining 9 cents to close at $3.55 per bushel. The USDA NASS Field Office reported that the corn harvest continued in the Blacklands and North East Texas. Net sales totaled 1,046,700 MT for 2017-2018 and were reported primarily for Mexico, Colombia and Japan. Exports totaled 714,600 MT and were reported primarily to Mexico, Colombia and Japan.
Grain Sorghum cash prices were higher at the close of last week gaining 15 cents to end at $5.52 per bushel. The USDA NASS Field Office reported that some producers reported sorghum fields in the Southern High Plains being infested with sugarcane aphids. Net sales totaled 222,300 MT for 2017-2018 and were reported for China and unknown destinations. Exports totaled 51,300 MT and were reported to China and Mexico.
Milk prices were lower at the close of last week, with October Class III milk futures losing 45 cents to end at $15.77 per cwt.
This week’s U.S. Drought Monitor for Texas showed worsening drought conditions for the state, with 7.55 percent of Texas still in some stage of drought intensity, up 2.39 percentage points from last week. Additionally, 0.04 of the state remains in severe, extreme, or exceptional drought, up 0.04 percentage points from three months ago. On the national level, drought conditions worsened slightly as well, with 33.74 percent of the U.S. experiencing abnormal dryness or some degree of drought, up 3.65 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.