The Farmer's Weblog
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Monday, March 31, 2003 |
Southern California: FOB Barn/Stack: 9,200 Tons Delivered: 1,740 Compared to last week, comparable sales steady to weak. Drier conditions are predicted through the area making for a more ideal hay production scenario. Decreased confirmed movement into delivered areas partly due to buyers weighting for higher quality offerings. Retail and stable hay sales mostly steady on comparable sales. Demand moderate with light supply.
8:40:45 PM
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What a difference a week makes. The speculator decided to take his profits and run as the market began sending signals that export bids were slowing. At the same time, US merchants became less aggressive in making export offers. The sell off down to 56 cents took the contract to its lowest level since February 25. More exports will come, and coupled with mill fixations, New York futures should attempt to again challenge the 60-cent level. However, lower prices this week did bring back volume export business.
8:34:53 PM
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USDA?s final slaughter numbers for 2002 were published this month. Federally Inspected (FI) cattle slaughter in 2002 totaled 35.1 million head. That was slightly larger (less than 1 percent) than 2001?s and about even with the previous five-year average. FI cattle slaughter increased 350 thousand head from the year prior mainly due to increased steer and dairy cow slaughter. Despite a modest increase in slaughter, FI beef production was 970 thousand pounds (3.8 percent) larger than 2001?s due to record heavy cattle weights.
8:22:44 PM
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After over a year of enduring cattle feeding losses, higher fed cattle prices have pulled estimated feedlot closeouts well into the black. During 2002, LMIC estimated that cattle feeders lost about $51.00 per head on a monthly average basis. So far this year, according to LMIC feeding estimates based on purchasing a 750-pound steer, feeders have averaged a positive return of over $58.00 per head, compared to -$78.74 for the same period last year.
8:21:24 PM
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Cattle dressed weights appear to be holding to the normal seasonal pattern and have recently fallen below a year earlier. Since the week ending January 25th, cattle dressed weights have been declining, reflecting a normal seasonal pattern. Recent declines in slaughter weights may indicate that some cattle have been ?pulled ahead? in anticipation of lower fed cattle prices.
8:20:14 PM
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The USDA released the Cattle on Feed report on Friday and it should be friendly to cattle producers. There were 10.52 million head of cattle on feed as of March 1, 2003. That is a decline of just over 1% from February and a 9 percent decline from March 2002 and a decline of 10 percent from March 2001. This decrease was greater than most traders had expected. February placements were 92% of 2002 and were lower than expectations, while February marketings were 96% of 2002 and were inline with trade expectations
8:17:14 PM
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Spot cotton trading was very light in the Desert Southwest (DSW). Supplies remained at a moderate level. Demand was light. A very light volume of color grade 31 and higher, leaf 3 and better, staple 34 and mike 35-49 traded at 53.00 cents, uncompressed, FOB warehouse. No purchases for domestic mills were reported. Agents for mills in Japan purchased a light volume of Upland cotton for June/July shipment. Agents for mills in India purchased a light volume for April shipment. Some ginning from modules continued. The amount of cotton up to stands continued to expand in the Yuma County, Arizona area. Cotton planting resumed the latter part of last week as fields dried from early-in-the-week rain showers.
8:10:48 PM
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