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AGRICULTURAL NEWS OF THE WEEK

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Number 184

Wednesday, July 8, 1953

LIVESTOCK

Rece1E!ri or cattle at the 12 major markets on Monday of this week were
sharply lower t
ffie previous Monday and moderately below the corresponding day
a year ago. On TUesday, July 7, receipts at the 12 major markets were about 53,000
head - slightly more than the relatively small run a year earlier. During the past
2 weeks, receipts or cattle and calves have declined sharply, and prices have strengthened on most classes. The USDA reports that during the months of May and June the
number of cattle slaughtered under Federal inspection was 44 perceiit'"'highermian
during May and June 1952. The increase over a year ago was 66 percent in the Southwest and 74 percent in the southeastern states. Since January l, movement of cattle
to slaughter has exceeded a year ago by about 33 percent.
Prices per cwt. on the Fort worth market on Monday, July 6: Good and
Choice slaughter steers $17.00 to $22.00; Camnercial cows $12.50 to $13.50, with
a few head at $14.0d; Utility cows mostly $9.50 to $1~; Medium and Good stocker
steers $11.00 to $15
with rnw yearlings to $15 .50; stocker cows $7 .oo to
~io.5<1; Good and Choice slaughter calves $!5.00 to $20.00; Medium
Good stocker
steer calyes $12 .oo to $15
with one load at $18 .oo; Choice and Prime sprmg
lambs $23.$0; and Choice butcher hogs $26.25.
Supplies of feed concentrates and grains from the CCC are becaning available in the emergency drought areas of the Southwest, according to the plan announced
by the Secretary of' AgricU!ture. Prices quoted are: cottonseed pellets and meal
$35 .oo per ton; corn $1.00 per bushel; wheat $1.10 per bushel; and oats 50 cents
per bushel. Loeal committees are being established in each county in the disaster
area to consider applications am establish eligibility. These conmdttees are composed of the county agricultural agent, chairman of the Production and Marketing
Administration Committee, county supervisor of the Farmers Home Administration, a
farmer or rancher, and a local banker.
In an announcement on July 7, Secretary of Agriculture Benson urged cattlemen who have feed or pasture available to give careful consideration to the long-rmi
outlook for cattle and not to be unduly influenced by the recent price declines. A
recent release of the USDA indicates that officials or that Department are hopeful
that cattle prices will stabilize, or perhaps strengthen moderately, during the
next few months.

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GRAINS
Prices of most grains strengthened moderately during the past week, with
Wheat sho:ving a gain of 7 cents per bushel and grain sorghums, 3 cents per cwt.
Reaction to earlier price declines, plus the fact that most grain now being harvested
is being placed in the Government loan, appear to be the daninant factors causing
the price increase.
Closing prices per bushel on the Fort Worth Grain and Cotton Exchange
on :Monday, July 6, and changes from a week earl;ier {f .o.b. Gulf Ports): No. l
hard wheat $2.34, up 6-3/4 cents; No. 2 'White oats 99-1/2 cents, ~ 1-1/2 cents;
No. 2 yellow corn $1.88 up 1-1/2 cents; No. 2Wliite corn $2.93-1/2, up 5-1/4
cents; No. 2 OarI'ey $1.hO, up 3 cents; and No. 2 yellow grain sorghums $2.88 per
up 3 cents.

cwt.,

Final price support on 1953-crop wheat will be at a national average of
$2.21 per bushel, according to the USDA. This compares with last year 1s average
of $2 .20 and is the same as the minimum support announced by the Department on
September 9, 1952, in accordance with nforward pricing" provisions of the Agricultural Act of 1949.
The rice crop in Texas and Louisiana is reported in generally good condition as a reSU'It of beneficia! rainS received during the pa.st week. However,
additional rains are needed in some areas of Louisiana, where over half o:£ the
crop is reported to be Zenith rice. Reports indicate that some new-crop Zenith
was offered at $10.75 per 100 pounds, milled basis, £.o.b. Texas and Louisiana
mills i'or shipment not later than August 15.
COTTON
Spot cotton prices declined mOderately last week, but on Monday, July 6,
Middling l~inch staple at Dallas was quoted at 32.75 cents per pound - only
five points below the previous Monday. The low for the week of 32.45 cents was
quoted on Thursday, July 2.
Domestic mill purchases decreased in volume last week, with many mills
shut down £or the usual summer holiday period. Export demand continued dull, with
only a few sales. A small volume of cotton contiiiues to move out of the loan, with
repayments during the week ended June 26 totaling about 19 ,ooo bales. LOans are
outstanding on l,88o,6o0 bales of 1952-crop cotton.
The June parity price for cotton was 12 points lower than May. If parity
at mid-July is-ar"or below the January 1953 level, the support price for 1953-crop
upland cotton will be 32. 70 cents per pound at average location for 15/16-inch
Middling. The rate on 7/8-inch Middling would be 30.80 cents per pound.
The first official estimate of cotton acreage this year will be released
by the USDA on Wednesday, July 8. Private estimates released thus far are in the
neighborhood of 25,000,000 acres, compared with 26,922 1 000 la.st year.

POULTRY
Texas broiler markets remained steadj during the past week, with prices
generally unchanged. Prices in all areas were quoted on Monday, July 6, at 28
cents per pound. Prices a year ago were 29 cents per pound in all areas.
Placements of broIIe'r Clii'cks on Texas farms during the week ended
June 27 ·totaled 1,3557500 chickS, compared with 1,405,000 a week earlier and
1,317,000 during the canparable week in 1952. Hatchability of' eggs set 3 weeks
ago averaged 69.0 percent.

MISCELLANEOUS
The index or prices received by Texas farmers as or mid-June was 5.7
percent below mid-May, according to the BA.r.Lower prices for most livestock and
grains were primarily responsible for the decline. The average price received by
farmers for beef cattle was $11.00 per cwt. - $4.00 lower than mid-May and $12.20
lower than June 1952. It was the lowest average midmonth price since December
1945. The large volume of low-grade cattle marketed during June accentuated the
decline in the average price received. Price increases were recorded for hogs,
wool, and truck crops.
Carl H. Moore
Agricultural Economist