TDA Market Recap August 3, 2009

AUSTIN – (Aug. 3, 2009) For the week ending Aug. 1, 2009, feeder cattle price trends at Texas auctions were mixed, from $4 lower per hundredweight to $4 higher compared to a week earlier. Fed cattle prices were $1 lower following a decline in wholesale beef prices. Cotton prices declined slightly, but grain prices were higher. A weaker U.S. dollar, improved export sales, higher crude oil and prospects for an improving general economy contributed to the increases. As for futures markets, feeder cattle and finished cattle were lower, while cotton, wheat, corn and lumber were higher. The South, South Central and Upper Coast areas of the state recorded little to no rain again last week. Some locally heavy rains fell in East Texas and many other locations reported one-half inch to two inches or more or rainfall. Topsoil moisture was rated mostly adequate on the Plains and in Northeast Texas, but short to very short elsewhere. Wheat harvest is nearing completion and field preparations for this year’s seedings are underway. Cotton bolls are opening on 12 percent of the acreage with the crop reported in mostly fair to good condition. Corn harvest is 23 percent complete, slightly ahead of normal with the remaining acreage in mostly good to fair condition. Grain sorghum is 52 percent harvested, well ahead of average. Pastures remain in mostly fair to very poor condition.