TDA Market Recap, Sept. 6, 2016

For the week ending Sept. 2, 2016, Texas feeder cattle auctions reported prices steady to $12 lower. Texas Weekly Direct reported prices $2 to $7 lower. Wholesale Beef values were lower, with Choice Grade losing $7.33 to close at $191.09 per hundredweight (cwt) and Select Grade losing $5.27 to close at $187.07 per cwt.
For the time period of Aug. 22-28 the USDA NASS Field Office reported livestock were in good condition throughout most of the state, and supplemental feeding continued in areas of the Lower Valley. Forage production progressed in areas of the Blacklands and stock tanks in areas of the Edwards Plateau were still full. Range and pasture improved in the Southern Low Plains, South Texas, and the Edwards Plateau due to recent rainfall.
For the time period of August 19-25, exporters reported net sales of 11,400 metric tons (MT) for 2016, which were up 42 percent from the previous week, but down 18 percent from the prior four-week average. Increases were reported for South Korea, Mexico and Hong Kong. Exports totaled 13,800 MT, which were down one percent from the previous week and four percent from the prior four-week average. The primary destinations were South Korea, Japan and Hong Kong.
Cotton prices were higher at the end of last week, with cash prices gaining 1.5 cents to close at 65.62 cents per pound and October futures prices gaining 0.82 cents to close at 67.51 cents per pound. The USDA NASS Field Office reported that in the High Plains, dry land cotton conditions were aided by rainfall and cooler temperatures. Cotton harvest was slowed in areas of the Coastal Bend and the Upper Coast. Cotton harvest continued in the southern part of the state. Net sales totaled 309,200 round bales (RB) for 2016/2017 and were reported for Vietnam, Pakistan and China. Exports totaled 201,100 RB and were reported to Vietnam, Mexico and China.
Wheat prices were higher at the end of last week, with September futures gaining $0.13 to close at $3.80 per bushel. The USDA NASS Field Office reported that field preparations for small grains were underway in many areas following much-needed rain showers. Net sales totaled 279,400 MT for 2016/2017, which were down 26 percent from the previous week and 38 percent from the prior four-week average. Increases were reported for Brazil, the Philippines and South Korea. Exports totaled 594,100 MT, which were up 5 percent from the previous week and from the prior four-week average. The primary destinations were Brazil, the Philippines and China.
Corn prices were higher at the end of last week with September futures gaining $0.05 to close at $3.17 per bushel. The USDA NASS Field Office reported that corn was tasseling in areas of the Northern High Plains and harvest neared completion in the Blacklands. Recent rainfall delayed corn and sorghum harvest in areas of South Central Texas and the Blacklands. In the Southern Low Plains, sorghum harvest continued. Net sales totaled 214,100 MT for 2015/2016, which were up noticeably from the previous week, but down 27 percent from the prior four-week average. Increases were reported for Japan, Colombia and Algeria. Exports totaled 1,464,500 MT, which were up 40 percent from the previous week and 22 percent from the prior four-week average. The primary destinations were Mexico, Japan and Taiwan.
Milk prices were lower at the close of last week, with September Class III milk futures losing $0.05 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 10.14 percent of Texas still in some stage of drought intensity, down 4.79 percentage points from last week. Additionally, 0.16 percent of the state remains in severe, extreme, or exceptional drought. On the national level, drought conditions worsened slightly, with 45.08 percent of the U.S. experiencing abnormal dryness or some degree of drought, down 0.29 percentage points from last week.
Source: Texas Department of Agriculture