1. No category

Tennessee Market Highlights
Trends for the Week
Compared to a Week Ago
Slaughter Cows
$1 to $3 lower
Slaughter Bulls
$2 to $3 lower
Feeder Steers
Steady to $6 higher
Feeder Heifers
Steady to $2 higher
Feeder Cattle Index
Wednesday’s index: 238.72
Fed Cattle
The 5-area live price of $163.54 is up
$3.56. The dressed price is up $5.79
at $257.79.
Corn
December closed at $3.34 a bushel,
up 11 cents a bushel since last Friday.
Soybeans
November closed at $9.22 a bushel,
up 10 cents a bushel since last Friday.
Wheat
December closed at $4.98 a bushel,
up 13 cents a bushel since last Friday.
Cotton
December closed at 64.1 cents per
lb, up 1.63 cents per lb since last
Friday.
October 10, 2014
Number: 41
Livestock Comments by Dr. Andrew P. Griffith
FED CATTLE: Fed cattle traded $2 higher on
a live basis compared to a week ago. Prices
were mainly $162 to $164 in the South
while prices in the North ranged from $256
to $260. The 5-area weighted average prices thru Thursday were $163.54 live, up
$3.56 from last week and $257.79 dressed,
up $5.79 from a week ago. A year ago prices were not reported due to the government shutdown. Live cattle futures started
this week as strong as or stronger than they
ended last week, but they hit a soft spot on
Thursday and prices continued on a downward trajectory on Friday. However, cash
prices did not seem to be phased as fed
cattle prices found support from the run-up
in futures earlier in the week. Cattle feeders
are sure to be satisfied by the price support
as they stare down the barrel of a loaded
gun that could quickly turn into negative
margins if the market were to be negatively
affected by outside factors. Based on the
past four months, it appears live cattle futures climbed to the top of a waterslide at
Dollywood Splash Country and are preparing for a plunge. However, the market has
continually found a way to defy all odds
and press forward so maybe Dolly has no
reason to worry about any splash.
BEEF CUTOUT: At midday Friday, the
Choice cutout was $247.70 up $0.64 from
Thursday and up $8.67 from last Friday. The
Select cutout was $235.12 up $0.27 from
Thursday and up $8.32 from last Friday. The
Choice Select spread was $12.59 compared
to $12.24 a week ago. Packers continue to
face volatility in the fed cattle market as
well as in the boxed beef market. Price increases in the beef cutout this week have
helped to insure positive margins as major
gains were witnessed in both the Choice
and Select cutouts, but the potential for
even stronger margins were hampered by
the increase in fed cattle prices. Beef demand remains strong both domestically
and internationally, but export demand
could be stymied in the future if the U.S.
dollar continues to strengthen relative to
other currencies which also could result in
an increase in beef imports. Packers continue to wait for their opportunity to gain leverage on cattle feeders which will come in
due time, but feedlot managers have been
able to maintain leverage due to low supply
and strong demand. As cattle continue to
be fed to heavier weights and as cattle back
up in the feedlot then packers will be able
to secure cattle at “more favorable” prices
which may result in cattle feeders losing
some money.
TENNESSEE AUCTIONS: On Tennessee auctions this week compared to a week ago
steers and bulls were steady to $6 higher.
Heifers were steady to $2 higher. Slaughter
cows were $1 to $3 lower while bulls were
$2 to $3 lower. Average receipts per sale
were 907 head on 12 sales compared to
882 head on 11 sales last week and 830
head on 10 sales last year.
OUTLOOK: Cattle marketings are starting
to pick up for the fall time period with most
of the feeder cattle being marketed between 350 and 650 pounds. There is nothing unusual about this marketing pattern,
but the question for cow-calf producers is if
they could benefit from growing those
calves to heavier weights. Similarly, stocker
producers are evaluating the weight classes
that offer the best margin opportunities.
Thus, it may be appropriate to consider it
from a cost of gain versus value of gain
standpoint. The cost of gain in the feedlot
reported by Kansas State in the August issue of “Focus on Feedlots” was $0.93 per
pound for steers and $0.98 per pound for
heifers which is expected to decline in coming months. Producers utilizing forage
should be able to achieve a lower cost of
gain than the feedlot, but the question now
is how the value of gain stacks up against
the cost of gain. Using weekly auction market average prices for the current week, a
579 pound steer was valued at $1,372 per
head ($236.99/cwt) while a 721 pound
steer was valued at $1,593 per head
($220.93/cwt). Thus, growing steers from
579 pounds to 721 pounds would result in a
(Continued on page 2)
Livestock Comments by Dr. Andrew Griffith
$164.08, then $159.53. Resistance is at $168.63 then $173.18.
The RSI is 64.60. February live cattle closed at $166.40. Support
is at $166.10, then $165.55. Resistance is at $167.60, then
$168.83. The RSI is 67.18. November feeders closed at $241.52.
Support is at $239.05, then $233.22. Resistance is at $244.87
then $250.70. The RSI is 78.24. January feeders closed at
$235.30. Support is at $234.75, then $234.08. Resistance is at
$235.70 then $236.33. The RSI is 79.95. March feeders closed
at $234.28. Support is at $233.50, then $232.50. Resistance is
at $235.20, then $237.40. The RSI is 81.62. Friday’s closing prices were as follows: Live/fed cattle – October $164.90 +0.90;
December $165.30 -0.58; February $165.00 -1.40; Feeder cattle
- October $240.50 -1.15; November $239.20 -2.33; January
$233.10 -2.20; March $231.30 -2.98; December corn closed at
$3.34 down $0.11 from Thursday.
(Continued from page 1)
value of gain of $1.55 per pound {($1,593 - $1,372) ÷ (721 –
579)}. When analyzing the value of gain for different weight
classes of steers weighing between 421 and 721 pounds, the
value of gain ranged from $1.14 to $1.64 per pound with most
value of gains above $1.30 per pound when marketed through
the weekly auction market. However, the value of gain is markedly higher if the feeder cattle were marketed in load lots. A
load of 750 pound steers brought $1,740 per head this week
($232/cwt) while two loads averaging 837 pounds brought
$1,879 per head ($224.51). The value of gain from 530 pounds
to 750 pounds was $1.92 per pound while the value of gain
from 530 to 837 pounds was $1.83 per pound. Similarly, the
value of gain from 627 pounds to 750 pounds was $2.35 per
pound while the value of gain from 627 to 837 pounds was
$2.04 per pound. It is understood that cattle prices for feeder
cattle could fall between purchase and sale time. However,
price risk management tools such as livestock risk protection,
forward contracting, or futures and options could be used to
secure a profitable price and value of gain.
Milk Futures
Month
Oct
Nov
Dec
Jan
Feb
TECHNICALLY SPEAKING: Based on Thursday’s closing prices,
October live cattle closed at $164.00. Support is at $162.14,
then $157.47. Resistance is at $166.82, then $171.49. The RSI is
66.28. December live cattle closed at $165.88. Support is at
Average Daily Slaughter
Cattle
Hogs
Thursday October 9, 2014
Class III Close Class IV Close
24.17
22.15
21.87
19.35
20.22
17.69
18.43
17.55
17.80
17.00
USDA Box Beef Cutout Value
Choice 1-3
600-900 lbs
———— Number of head ————
This week (4 days)
112,500
Last week (4 days)
114,000
Year ago (4 days)
120,000
This week as percentage of
Week ago (%)
99%
Year ago (%)
94%
425,500
410,250
432,750
Select 1-3
600-900 lbs
———————— $/cwt —-———————
Thursday
Last Week
Year ago
Change from week ago
Change from year ago
104%
98%
247.06
238.45
———
+8.61
———
234.85
227.33
———
+7.52
———
Crop Comments by Dr. Aaron Smith
Overview
Corn, soybeans, cotton, and wheat were up for the week. Today the USDA
released their monthly Crop Production and World Agricultural Supply and
Demand Estimates (WASDE). U.S. corn yields were increased 2.5 bpa to
174.2 bpa. Partially offsetting the yield increase was a 700,000 acre decrease
in harvested area. The net result was a modest increase in total domestic
production from the September report of 80 million bushels. Domestic ending stocks were revised up 79 million bushels; only minor changes in corn use were recorded. Foreign ending stocks were decreased 52 million bushels to 5.422 billion bushels. Combining the net domestic change and foreign change in ending stocks resulted in a global increase in ending stocks of approximately 27
million bushels from the September estimate. In Tennessee, average corn yield was increased 8 bpa to 160 bpa. U.S. soybean
yields were increased 0.5 bpa to 47.1 bpa. Like corn, harvested area decreased 700,000 acres partially offsetting yield increases.
The net production change was estimated to be an increase of 14 million bushels. Ending stock estimates shrank 25 million bushels
to 450 million largely due to a revision in ending domestic stocks that was presented in the September 30th Quarterly Grain Stocks
report. Foreign soybean stocks were increased 43 million bushels resulting in a net global change of 18 million bushels from the
September estimates. In Tennessee, average soybean yield was increased 2 bpa to 49 bpa. U.S. upland cotton yields were decreased 14 lbs/acre to an average of 776 lbs/acre. Total domestic cotton production fell 280,000 bales to 16.26 million bales. Esti2
Crop Comments by Dr. Aaron Smith
mated harvested acreage was unchanged from the September report. Domestic ending stocks decreased to 4.9 million bales as use
was left unchanged at 13.8 million bales. Foreign ending stocks were increased 1.12 million bales, resulting in a net global ending
stocks increase of approximately 820,000 from the September report. In Tennessee, average yield was decreased 18 lbs/acre to
915 lbs/acre. U.S. wheat yields were decreased 0.1 bpa to 43.8 bpa and acreage was increased 300,000 acres. This resulted in a net
increase in production from the September report of 5 million bushels. Wheat, feed and residual use and exports were increased
by 25 million bushels each resulting in a decrease in domestic ending stocks of 44 million bushels. Foreign ending stocks dropped
95 million bushels. As a result, global stocks were down 139 million bushels from September’s estimates. Overall the report was
bearish and futures markets gave back most of the price gains from earlier in the week, however given where many analysts’ yield
and production expectations were, prior to the report, the estimates could have been much more bearish. The start of next week
will be key in determining if the rally from earlier in this week can resume or if the markets continue off Friday’s declines and seek
new contract lows in corn and soybeans.
Corn
December 2014 corn futures closed at $3.34 up 11 cents a bushel since last week with support at $3.22 and resistance at $3.54.
Across Tennessee average basis (cash price- nearby future price) weakened in Northwest and Upper-middle Tennessee and
strengthened in Memphis, Northwest Barge Points, and Lower-middle Tennessee. Overall basis for the week ranged from 64 under
to 21 over the December futures contract with an average of 36 under at the end of the week. Ethanol production for the week
ending October 3rd was 901,000 barrels per day up 20,000 barrels per day from last week. Ending ethanol stocks were 18.651 million barrels down 177,000 barrels from last week. Nationally, the October 6th Crop Progress report estimated corn mature at 77%
compared to 60% last week and a 5-year average of 81%; corn harvested at 17% compared to 12% last week and a 5-year average
of 32%; and corn condition at 74% good to excellent 7% poor to very poor. In Tennessee, the Crop Progress report estimated, corn
mature at 97% compared to 93% last week, and a 5-year average of 97%; corn harvested at 71% compared to 56% last week and a
5-year average of 74%; and corn condition at 86% good to excellent and 2% poor to very poor. This week December 2014 corn futures prices traded between $3.23 and $3.48. Dec/Mar and Dec/Sep future spreads were 12 cents and 37 cents, respectively.
January cash forward contracts at elevators and barge points for the week averaged $3.28 with a range of $2.77 to $3.53. March
2015 corn futures closed at $3.46 up 10 cents from last week with support at $3.35 and resistance at $3.67. Corn net sales reported by exporters from September 26th to October 2nd were above expectations with net sales of 30.9 million bushels for the
2014/15 marketing year and net sales reductions of 0.03 million bushels for the 2015/16 marketing year. Exports for the same time
period were up from last week at 38.5 million bushels. Corn export sales and commitments were 34% of the USDA estimated total
annual exports for the 2014/15 marketing year (September 1 to August 31) compared to a 5-year average of 39%. September 2015
futures closed at $3.71. Downside price protection could be obtained by purchasing a $3.80 September 2015 Put Option costing 36
cents establishing a $3.44 futures floor.
Soybeans
November 2014 soybean futures closed at $9.22 up 10 cents for the week with support at $9.17 and resistance at $9.52. Nov/Dec
soybean to corn price ratio was 2.76 at the end of the week. For the week, average soybean basis weakened in Lower-middle Tennessee and strengthened at Northwest Barge Points, Memphis, Northwest, and Upper-middle Tennessee. Basis ranged from 48
under to 40 over the November futures contract at elevators and barge points. Average basis at the end of the week was 1 under
the November futures contract. The Crop Progress report estimated soybeans dropping leaves at 83% compared to 69% last week
and a 5-year average of 84%; soybeans harvested at 20% compared to 10% last week and a 5-year average of 35%; and soybean
condition at 73% good to excellent 6% poor to very poor. In Tennessee, the Crop Progress report estimated soybeans dropping
leaves at 71% compared to 58% last week and a 5-year average of 74%; soybeans harvested at 6% compared to 2% last week and a
3
(Continued on page 4)
Crop Comments by Dr. Aaron Smith
5-year average of 23%; and soybean condition at 83% good to excellent 3% poor to very poor. This week November 2014 soybean
futures traded between $9.12 and $9.55. January cash forward contracts averaged $9.55 with a range of $9.10 to $9.80.
January 2015 soybean futures closed at $9.30 up 10 cents from last week with support at $9.25 and resistance at $9.60. Net sales
reported by exporters were above expectations with net sales of 33.9 million bushels for the 2014/15 marketing year and net sales
reductions of 0.8 million bushels for the 2015/16 marketing year. Exports for the same period were up from last week at 35.7 million bushels. Soybean export sales and commitments were 64% of the USDA estimated total annual exports for the 2014/15 marketing year (September 1 to August 31), compared to a 5-year average of 56%. Nov/Jan and Nov/Nov future spreads were 8 cents
and 22 cents. November 2015 futures closed at $9.44. Downside price protection could be achieved by purchasing a $9.60 November 2015 Put Option which would cost 64 cents and set an $8.96 futures floor.
Cotton
December 2014 cotton futures closed at 64.10 up 1.63 cents for the week with support at 62.5 and resistance at 6.30. Cotton adjusted world price (AWP) increased 0.44 cents to 49.71 cents. The Crop Progress report estimated cotton bolls opening at 73%
compared to 64% last week and a 5-year average of 79%; cotton harvested at 15% compared to 10% last week and a 5-year average of 18%; and cotton condition at 47% good to excellent 20% poor to very poor. In Tennessee, the Crop Progress report estimated cotton bolls opening at 85% compared to 75% last week and a 5-year average of 81%; cotton harvested at 6% compared to 2%
last week and a 5-year average of 22%; and cotton condition at 71% good to excellent 5% poor to very poor. December cotton futures traded between 62.32 and 65.5 cents this week. Downside price protection could be obtained by purchasing a 65 cent December 2014 Put Option costing 2.03 cents establishing a 62.97 cent futures floor.
March 2014 cotton futures closed at 61.84 up 0.74 cents for the week with support at 60.63 and resistance at 63.57. Net sales reported by exporters were down from last week at 68,500 bales for the 2014/15 marketing year and net sales of 44,500 bales for
the 2015/16 marketing year. Exports for the same period were down from last week at 81,300 bales. Cotton export sales were 60%
of the USDA estimated total annual exports for the 2014/15 marketing year (August 1 to July 31), compared to a 5-year average of
51%. Dec/Mar future spread was -2.26 cents.
Wheat
December 2014 wheat futures closed at $4.98 up 13 cents from last week with support at $4.81 and resistance at $5.14. In Memphis, old crop cash wheat traded between $4.46 and $4.62 for the week. The Crop Progress report estimated spring wheat harvest(Continued on page 5)
4
Crop Comments by Dr. Aaron Smith
ed at 96% compared to 94% last week and a 5-year average of 99%. December wheat futures traded between $4.84 and $5.11 this
week. December wheat to corn price ratio was 1.49. Dec/Mar and Dec/July future spreads were 11 cents and 24 cents.
March 2015 wheat futures closed at $5.09 up 12 cents from last week with support at $4.94 and resistance at $5.25. Net sales reported by exporters were below expectations at 13.7 million bushels for the 2014/15 marketing year. Exports for the same period
were down from last week at 24.6 million bushels. Wheat export sales were 57% of the USDA estimated total annual exports for
the 2014/15 marketing year (June 1 to May 31), compared to a 5-year average of 55%. The Crop Progress report estimated winter
wheat planted at 56% compared to 43% last week and a 5-year average of 53%; and winter wheat emerged at 28% compared to
14% last year and a 5-year average of 24%. In Tennessee, winter wheat planting was estimated at 13% compared to 6% last week
and a 5-year average of 9%; and winter wheat emerged at 2% compared to 0% last year and a 5-year average 0f 0%. June/July 2015
cash forward contracts averaged $4.97 with a range of $4.60 to $5.24 at elevators and barge points. July 2015 wheat futures closed
at $5.22. Downside price protection could be obtained by purchasing a $5.30 July 2015 Put Option costing 41 cents establishing a
$4.89 futures floor.
Additional Information
Important deadlines for producers/landowners for the 2014 Farm Bill:
1.
2.
September 29 to February 28th. During this period, paperwork dealing with the program yield updating and program acre reallocation decisions can be completed for each FSA farm.
November 17 to March 31. During this period, paperwork dealing with program choice (Agricultural Risk Coverage - County
(ARC-CO), Price Loss Coverage (PLC), and Agricultural Risk Coverage - Individual Coverage (ARC-IC)) can be completed for each
FSA farm.
Additional details and helpful links can be found on the University of Tennessee Extension Farm Bill webpage: http://
economics.ag.utk.edu/farmbill.html. If you would like further information or clarification on topics discussed in the crop comments
section or would like to be added to our free email list please contact me at aaron.smith@utk.edu.
5
Futures Settlement Prices: Crops & Livestock
Friday, October 3, 2014 — Thursday, October 9, 2014
Friday
Monday
Tuesday
9.12
9.42
9.40
9.20
9.50
9.49
9.28
9.58
9.57
9.35
9.64
9.65
9.41
9.69
9.71
9.44
9.72
9.74
Commodity
Soybeans
($/bushel)
Contract Month
Nov
Jan
Mar
May
Jul
Aug
Wednesday
9.35
9.43
9.52
9.60
9.67
9.70
Thursday
9.42
9.50
9.58
9.66
9.74
9.76
Corn
($/bushel)
Dec
Mar
May
Jul
Sep
Dec
3.23
3.36
3.45
3.52
3.60
3.71
3.32
3.45
3.53
3.61
3.69
3.80
3.40
3.53
3.62
3.70
3.78
3.88
3.43
3.56
3.65
3.73
3.80
3.90
3.44
3.57
3.66
3.74
3.81
3.90
Wheat
($/bushel)
Dec
Mar
May
Jul
Sep
4.85
4.97
5.05
5.13
5.25
4.91
5.03
5.12
5.20
5.33
5.06
5.18
5.25
5.33
5.45
5.07
5.19
5.26
5.34
5.45
4.93
5.05
5.11
5.19
5.30
Soybean Meal
($/ton)
Oct
Dec
Jan
Mar
May
Jul
308
298
297
294
293
295
320
308
306
304
302
304
327
312
311
307
306
307
329
309
308
305
304
305
333
313
311
308
307
308
Cotton
(¢/lb)
Oct
Dec
Mar
May
Jul
63.07
62.47
61.10
61.58
62.14
64.98
64.38
62.28
62.78
63.32
65.83
65.21
62.57
63.16
63.75
65.51
64.89
62.73
63.33
63.94
64.55
63.94
62.27
62.95
63.65
Live Cattle
($/cwt)
Oct
Dec
Feb
Apr
Jun
162.40
165.87
165.55
164.30
153.00
163.05
166.30
166.10
165.07
154.35
165.77
167.85
167.00
166.07
156.22
166.10
168.05
167.60
166.85
157.50
164.00
165.87
166.40
166.40
157.40
Feeder Cattle
($/cwt)
Oct
Nov
Jan
Mar
Apr
May
240.87
240.97
234.72
233.07
233.05
232.30
240.00
240.27
234.07
232.50
232.70
232.47
241.47
242.42
235.97
234.55
234.37
234.52
242.32
242.92
236.32
235.20
234.87
235.12
241.65
241.52
235.30
234.27
233.92
234.12
Market Hogs
($/cwt)
Oct
Dec
Feb
Apr
May
105.60
93.02
90.65
91.30
91.20
107.17
95.87
92.75
93.00
91.20
107.22
94.35
91.62
91.65
92.65
108.12
95.17
92.40
92.32
93.25
109.50
95.62
92.05
92.00
93.25
6
Prices on Tennessee Reported Livestock Auctions for the week ending October 10, 2014
Low
This Week
High
Weighted Average
Last Week
Weighted Average
Year Ago
Weighted Average
—————————————————————— $/cwt ——————————————————————
Steers: Medium/Large Frame #1-2
300-400 lbs
251.00
375.00
307.60
297.53
181.05
400-500 lbs
236.00
298.00
269.42
271.16
164.20
500-600 lbs
213.00
263.00
242.69
241.76
151.68
600-700 lbs
210.00
249.00
228.87
225.98
144.78
700-800 lbs
180.00
234.00
218.00
213.01
138.41
300-400 lbs
200.00
300.00
264.53
272.35
159.54
400-500 lbs
206.00
277.50
246.78
244.80
146.01
500-600 lbs
194.00
240.00
216.79
227.27
118.68
600-700 lbs
161.00
229.00
207.66
207.52
———
Steers: Small Frame #1-2
Steers: Medium/Large Frame #3
300-400 lbs
220.00
305.00
271.32
269.11
157.85
400-500 lbs
209.00
275.00
234.33
236.55
145.23
500-600 lbs
190.00
243.00
225.26
217.31
135.65
600-700 lbs
178.00
235.00
211.39
213.01
130.76
700-800 lbs
180.00
214.00
197.73
196.93
127.75
300-400 lbs
175.00
190.00
183.44
176.36
109.96
500-600 lbs
144.00
190.50
170.89
———
100.73
700-800 lbs
139.00
177.00
162.70
159.74
———
Breakers 75-80%
94.00
116.00
106.07
107.89
74.20
Boners 80-85%
97.00
118.00
106.75
108.93
75.18
Lean 85-90%
90.00
114.00
98.10
100.13
67.82
Bulls YG 1
115.00
142.00
129.43
132.97
92.26
Holstein Steers
Slaughter Cows & Bulls
Heifers: Medium/Large Frame #1-2
300-400 lbs
235.00
290.00
254.85
255.50
151.51
400-500 lbs
215.00
260.00
236.89
237.60
143.11
500-600 lbs
200.00
236.00
221.66
221.63
137.24
600-700 lbs
180.00
228.00
209.43
210.55
131.72
300-400 lbs
202.00
250.00
231.91
224.39
122.43
400-500 lbs
182.50
230.00
213.58
211.57
122.42
500-600 lbs
160.00
220.00
196.43
197.83
120.58
600-700 lbs
168.00
206.00
191.73
193.75
112.65
Heifers: Small Frame #1-2
Heifers: Medium/Large Frame #3
300-400 lbs
200.00
260.00
227.26
230.46
135.88
400-500 lbs
180.00
237.50
217.66
215.41
130.45
500-600 lbs
173.00
225.00
203.01
202.69
126.03
600-700 lbs
166.00
210.00
188.72
198.12
123.22
Cattle Receipts (# sales): This week: 10,880 (12)
Week ago: 9,700 (11)
7
Year ago: 8,300 (10)
Tennessee 500-600 lbs. M-1 Steer Prices
Tennessee 700-800 lbs. M-1 Steer Prices
2013, 2014 and 5-year average
2013, 2014 and 5-year average
260
240
220
200
180
160
140
120
100
220
200
180
160
140
120
100
80
2008/2012 Avg
2013
2014
200 8/20 12 Avg
201 3
201 4
5-Area Finished Cattle Prices
Tennessee Slaughter Cow Prices
2013, 2014 and 5-year average
Breakers 75-80%
2013, 2014 and 5-year average
165
155
145
135
125
115
105
95
85
115
105
95
85
75
65
55
45
35
2008/2012 Avg
2013
200 8/20 12 Avg
2014
201 3
201 4
Prices Paid to Farmers by Elevators
Friday, October 3, 2014 — Thursday, October 9, 2014
Friday
Low
High
Monday
Low
High
Tuesday
Low
High
Wednesday
Low
High
Thursday
Low
High
Thursday Harvest
Low
High
————–-——–———————————————— $/bushel ————————————————————–———
No. 2 Yellow Soybeans
Memphis
9.12-9.22
9.47-9.57
9.60-9.65
9.65-9.70
9.72-9.82
———
N.W. B.P.
8.87-9.00
9.17-9.30
9.16-9.55
9.45-9.55
9.52-9.60
9.52-9.80
N.W. TN
8.62-8.76
8.92-9.06
8.91-9.11
8.95-9.10
9.02-9.17
9.42-9.42
Upper Md.
8.80-8.91
9.10-9.21
9.20-9.36
9.14-9.30
9.22-9.37
9.37-9.70
Lower Md.
9.02-9.32
9.32-9.62
9.21-9.61
9.15-9.55
9.22-9.62
9.50-9.50
Memphis
2.98-2.98
3.04-3.07
3.00-3.03
2.93-2.98
2.99-3.09
———
N.W. B.P.
2.74-2.93
2.81-3.03
3.01-3.11
2.83-3.08
2.85-3.10
3.10-3.48
N.W. TN
2.62-2.88
2.71-3.02
2.80-3.11
2.81-3.13
2.81-3.15
3.23-3.53
Upper Md.
2.69-2.98
2.77-3.07
3.01-3.15
3.03-3.18
3.05-3.19
3.05-3.42
Lower Md.
2.98-3.43
3.08-3.53
3.16-3.61
3.18-3.63
3.20-3.65
3.38-3.38
4.40-4.40
4.46-4.46
4.61-4.61
4.62-4.62
4.48-4.48
———
Yellow Corn
Wheat
Memphis
8
Video Sales
Video Board Sales and Graded Sales
EAST TENNESSEE LIVESTOCK CENTER - Oct. 8, 2014
1 load out of 65 steers; BQA certified producer; est. wt. 830
lbs., wt. range 780 to 880 lbs.; Slide: $0.04 on first 50 lbs., over
51 lbs. $0.06 back to first lb. over 831 lbs.; 100% L&M-1s; medium flesh; 90% Black/BWF, 5% Red/RWF, 5% ChaX/Smoky;
Feed: pasture receiving 8 lbs/hd/day corn gluten; doublevaccinated; dewormed twice; implanted; gathered early a.m.,
hauled 6 miles, weighed on grounds after sort; 2% shrink
$226.00
10/3/2014 Lower Middle TN Cattle Association Video Board
Sale Columbia, TN (Delivery current thru Oct. 30th, 5-8 cent
slide and 0-2% shrink)
Receipts: 2618
Steers Med & Lg 1 few 2
20 hd 500 lbs $279.50 TN
32 hd 625 lbs $253.50 TN
1 ld 675 lbs $246.00 TN
1 ld 785 lbs $229.50 TN
4 lds 850-890 lbs $214.50-219.10 NC, TN
3 lds 900-915 lbs 214.30-216.25 NC, TN
1 load out of 64 steers; BQA certified producer; est. wt. 845
lbs., wt. range 800 to 900 lbs.; Slide: $0.04 on first 50 lbs., over
51 lbs. $0.06 back to first lb. over 846 lbs.; 100% L&M-1s; medium flesh; 75% Black/BWF, 10% Red/RWF, 10% ChaX/Smoky;
Feed: pasture receiving 8 lbs/hd/day corn gluten; doublevaccinated; dewormed twice; implanted; gathered early a.m.,
hauled 6 miles, weighed on grounds after sort; 2% shrink
$223.00
Heifers Med & Lg 1 few 2
3 lds 810-835 lbs $209.70-212.00 TN
1 ld 860 lbs $210.95 TN
DICKSON LIVESTOCK - Oct. 6, 2014
1 load of 69 steers, avg. wt. 723 lbs., $235.00
1 load of 66 steers, avg. wt. 750 lbs., $232.00
1 load of 72 heifers, avg. wt. 687 lbs., $230.00
Video Board Sales and Grades Sales
10/8/14 Warren County Livestock
Receipts: 1,378 (Prices for Blk, BWF, CharX)
Steers: Med & Lg 1
300-350 lbs 292.00
350-400 lbs 301.00-304.00
400-450 lbs 280.00-284.00
450-500 lbs 276.00-284.50
500-550 lbs 274.00-283.00
550-600 lbs 250.50-262.50
600-700 lbs 236.00-241.75
700-850 lbs 224.75-231.00
850 and over 209.00-212.50
Heifers: Med & Lg 1
300-350 lbs 254.00
350-400 lbs 250.00-252.00
400-450 lbs 244.50-265.00
450-500 lbs 245.00-259.50
500-550 lbs 234.00-240.00
550-600 lbs 219.50-227.50
600-700 lbs 207.00-217.00
700-850 lbs 204.50-212.50
850 and over 190.00
Steers: Med & Lg 2
300-350 lbs 303.00
350-400 lbs 272.00-297.00
400-450 lbs 234.00-279.00
450-500 lbs 257.50-267.00
500-600 lbs 237.50-243.50
600-700 lbs 235.00-243.50
700-850 lbs 223.50-226.50
900-950 lbs 176.00-214.00
Heifers: Med & Lg 2
300-350 lbs 238.00-249.00
350-400 lbs 222.50-244.00
400-450 lbs 222.00-232.50
450-500 lbs 220.50-230.00
500-600 lbs 217.50-224.50
600-700 lbs 201.00-211.00
700-850 lbs 190.00-208.00
850 and over
Bulls: Med & Lg 1-2
300-400 lbs 288.00
400-500 lbs 259.00
500-600 lbs 233.00-234.50
600-700 lbs 214.50-217.50
700-800 lbs 197.00
9
Beef Industry News
Featured Article from Drovers CattleNetwork
NCBA vows to fight USDA plan to create 2nd beef
checkoff program
The largest contractor of the Beef Checkoff Program, the National Cattlemen’s Beef Association (NCBA), said today that U.S.
Secretary of Agriculture Tom Vilsack’s idea to reform the
checkoff by creating another beef checkoff fund is dead on arrival with the grassroots organization.
During an exclusive interview with Drovers/CattleNetwork,
NCBA President and Texas cattleman Bob McCan said a big majority of producers support the current checkoff structure and
that creating a second checkoff is not only duplicative but also
potentially risks the future of the Beef Checkoff Program.
“We have a big majority of support for our checkoff that we
have now and very good return on investment – it’s been very
successful,” McCan says. “The majority of producers in this
country feel that way. It’s our obligation at NCBA as a grassroots organization to vocalize that opinion as much as we can.”
Established by the 1985 Farm Bill, the Beef Checkoff Program
was created to fund projects related to promotion, research,
consumer education and international marketing. Of the $1 per
head assessment, which is the same amount as it was in 1985,
half is allocated to state beef councils and half goes to the
Cattlemen’s Beef Promotion and Research Board (CBB) to administer the national checkoff program according to USDA rules
and oversight.
According to the 1985 Act, CBB, in coordination with the Beef
Promotion Operating Committee, contracts with established
national, non-profit, industry organizations to implement
checkoff programs.
For three years, a checkoff enhancement working group comprised of the industry stakeholders has met to discuss potential
reform of the beef checkoff in order for it to meet the needs of
today’s diverse cattle industry and make it more effective and
efficient. Since that time, the group has not been able to reach
a consensus.
Calling the process a “waste of time and money” and claiming
“there is no willingness from key players within the group to
allow real reforms to take place,” the National Farmers Union
voted to leave the working group. At the same time, NFU passed
a resolution calling for a series of changes to the 1985 Act, which
would require congressional approval and a change to the 1985
Act.
The final recommendation called for USDA to place the beef
checkoff under the Commodity Promotion, Research and Information Act of 1996 (1996 Act). Unlike the previous recommendations, the final action item proposed by NFU would simply
require an act of Secretary of Agriculture Tom Vilsack, as the
1996 Act allows the Secretary of Agriculture to write a rule for a
new commodity checkoff program.
During a September 30 meeting of the working group, including
NFU despite its decision to withdraw, Secretary Vilsack announced that he is considering creating an additional beef
checkoff that would fall under the 1996 Act. A move McCan says
could jeopardize the entire national checkoff.
“It gives the federal government way too much authority,”
McCan says. “There would be a lot of duplicity and additional
bureaucracy. Our current structure is pretty efficient. The statenational relationship is very strong. The CBB utilizes as many of
the non-profit entities as they can to implement the authorization requests. We need to capitalize on that, and we don’t see
any way that could continue going forward with any type of program under the 1996 Act.”
McCan said NCBA sees this as the current administration taking
executive action to achieve its agenda regardless of what the
majority of the industry wants.
“This is an unnecessary act that was announced to appease one
group,” McCan says.
The new checkoff and the current checkoff would reportedly
coexist for a period of three years before a producer referendum would take place. At that point, and under a new administration, a referendum would be held on whether to continue.
For complete story:
http://www.cattlenetwork.com/NCBA-vows-to-fight-USDA-planto-create-2nd-beef-checkoff-program-278050331.html
University of Tennessee Extension
Department of Agricultural and Resource Economics
314 Morgan Hall • 2621 Morgan Circle
http://economics.ag.utk.edu/
http://economics.ag.utk.edu/curmkt.html
USDA / Tennessee Department of Agriculture Market News Service
http://www.tennessee.gov/agriculture/marketing/marketnews.html
1-800-342-8206
10