View original document

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

AGRICULTURAL NEWS OF THE WEEK
FEDERAL RESERVE

Number 392

BANK OF

DALLAS

Wednesday, July 3, 1957

WHEAT
According to the current issue of The Wheat Situation released by the
U. S. Department of Agriculture, the total wheat supply for the marketing year
beginning July 1, 1957, is estimated at 1,879 million bushels, or 8% below the yearearlier level. The decrease is a result of the first substantial reduction in the
carry-over since 1952 and a small decline in production this year. Very large exports account for the reduction in the carry-over. U. s. exports of wheat and flour
during the marketing year ended June 30, 1957, are expected to total an all-time
high of approximately 535 million bushels, compared with 346 million bushels a year
ago. The previous record was in 1948, when 504 million bushels of wheat were shipped.
AGRICULTURAL
PRICES
The index of prices received by the Nation's farmers rose slightly during
the month ended June 15, reports the Agricultural Marketing Service. The index, at
244%~he 1910-14 a;;rage, compares with 243 a month earlier and 245 on the corresponding date in 1956. Higher prices for meat animals, fruit, and cotton were primarily responsible for the increase from mid-May. Lower prices for commercial
vegetables, grains, and hay were only partially offsetting.
The June 15 parity index (which reflects prices paid for commodities and
services, plus interest, taxes, and wage rates) is placed at 296 - unchanged from
a month earlier but 3% above the index on the comparable date last year.
The parity ratio remained at 82 - the lowest mid-June level since 1940.
FARM
INCOME
Cash receipts from farm marketings in the District states (Arizona,
Louisiana, New Mexico, Oklahoma, and Texas) totaled $774,292,000 during JanuaryApril, or 2% below the year-earlier level. Receipts from crops were 9% lower
than in the first 4 months of 1956, while those from livestock and livestock
products were 4% higher.
W0 R L D
W0 0 L
C 0 N S U MP T I 0 N u p
World consumption of ~ wool in 1956 reached a record 2,830 million
lbs. (clean basis), or 8% above the 1955 consumption, reports the Foreign Agricultural Service. All major consuming countries used more wool in 1956 except
the United Kingdom, where consumption was about the same as a year earlier.

LIVESTOCK
The cattle run at Fort Worth on Monday, July l, totaled an estimated
6,200 - up 17% from a week ago but 9% below the year-earlier supply, according
to the AMS. Trading on most classes of slaughter cattle was slow in getting under
way as a result of higher asking prices. On the other hand, trading on stocker and
feeder cattle was much more active than at the previous week's close, and prices
were mainly steady to strong. Good slaughter steers sold at $21 to $23; Utility
cows, $12.50 to $14; and Medium and Good 500- to 700-lb. stocker and feeder steers,
$15.50 to $20.50 per cwt.
Monday's calf receipts, at an estimated 1,500, were 200 more than a week
earlier and 100 above the marketings on the corresponding date in 1956. Slaughter

calves sold more readily than in the latter part of the past week, and prices were
strong to 50¢ higher. Most Good slaughter calves were quoted at $18.50 to $21, and
most Medium and Good stocker and feeder steer calves brought $15.50 to $21.
The hog supply is placed at 1,250, compared with 900 on the previous Monday's market and 1,600 a year earlier. Prices for barrows and gilts were mainly 25¢
per cwt. lower than in the latter part of the past week, and those for sows were
steady to 50¢ lower. No. 2 to mostly No. 3 Grades of 270- to 300-lb. slaughter hogs
sold at $19.50 to $20,
Sheep and lamb offerings are estimated at approximately 5,700, or 500 fewer
than a week ago but 700 above the year-earlier level. Trading was fairly active, and
prices ranged from steady to $1 per cwt. higher than in the previous week. Good and
Choice 75- to 90-lb. slaughter spring lambs brought $20 to $21.50.

P 0 UL T RY
According to the Texas Department of Agriculture, the principal commercial
broiler markets in the State continued steady during the week ended Friday, June 28.
As compared with a week earlier, closing prices were unchanged in the major areas
of trading but were slightly higher at the Corsicana F.O.B. plant. The following
closing prices were quoted: South Texas, 22¢, with a few at 21¢; east Texas, 21¢,
with a few at 22¢; Waco, 21¢; and the Corsicana F.O.B. plant, 22¢ to 23¢ per lb.
During the corresponding period in 1956, closing prices were 21¢ in south Texas and
Waco and 20¢ to 21¢, mostly 21¢, in east Texas. (Prices at the Corsicana F.O.B.
plant were not available.)
Texas commercial broiler markets remained steady on Monday of this week,
with the following prices quoted: South Texas, 22¢; east Texas, mostly 21¢; and
Waco, 21¢ per lb.

BROILER CHICK
PLACEMENTS

Percentage change from
Comparable
Previous
week 2 1956
week

Area

Week ended
June 22i 1957

Texas ...•••
Louisiana ••

2, 272, 000
405,000

-3
7

2
-2

22 states ..

292017,000

1

4

F I RE S
AT
RE C0 RD L 0 W
F 0 R E S T
The number of forest fires in the Nation was a record low in 1956, although
the American people visited and used forest lands more than ever before, according
to the USDA. During the year, 143,485 forest fires were reported on private, state,
and federal lands, or 1,695 fewer than in 1955. Improvements noted in the 1956 fire
picture included progress in forest fire prevention in the South, fewer man-caused
fires, and a reduction in the number intentionally set. Despite the favorable showing in fire protection, a forest fire was reported on an average of every 3.S minutes
during 1956.

J. Z. Rowe
Agricultural Economist