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AGRICULTURAL NEWS OF THE WEEK
FEDERAL RESERVE BANK OF DALLAS

Hurn be:.;:-

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Wednesday, November 19, 1958

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F A RM- C I T Y

WE E K

The fourth m.1!'. ,ual Fann-City Week will be observed November 21-27
throughout the United States and Canada. According to the U. S.
Department of Agriculture, the purpose of this observance is (1)
to recogClize the contributions American farm families have made
to our civilization; (2) to promote better public understanding
of the needs, problems, and opportunities of our country's agriculture and farm people; and (3) to honor men and women who have
contributed to agricultural achievements and progress.

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DEMAND
A N D P R IC E
0 U T L 0 0 K
Prices received by the Nation's farmers - which are averaging the best in
1 years - may decline somewhat in 1959, principally because of lower hog prices,
according to the Agricultural Marketing Service. The increasing flow of products
from farms likely will maintain total cash receipts from fa£!!! marketings at about
the 1958 figure. However, elimination of Acreage Reserve payments after this year,
coupled with the prospects for a further slight rise in production expenses, may result in a 5% to 10% reduction in realized net farm income, depending largely on the
level of crop production in 1959. Net farm income this year is averaging approximately 20% above that in 1957 and is the highest in 5 years. The AMS points out
that the income which farm people receive from nonfarm sources should increase as
the economy continues to recover from the recent recession. Off-farm income currently
provides about one-third of the net income of farm families.
FARM
I N C 0 ME
Cash receipts from farm marketings in the states of the Eleventh Federal
Reserve Di~ct (Arizona, Louisiana, New Mexico, Oklahoma,-and Texas) during JanuarySeptember 1958 amounted to nearly $2.5 billion, reflecting a 30% increase over the
corresponding months last year. Receipts from crops were 48% higher, and those from
livestock and livestock products were up 16%.

T E XAS
F AL L
VE GE T AB L E S
The outturn of fall-crop vegetables in Texas this year is estimated to be
12% above the 1957 level, reports the AMS. The production is slightly higher than
that indicated at the beginning of October> mainly as a result of better yields of
lettuce in the Panhandle area.
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F E E D I NG E XP E CT E D T 0
LAMB
BE u p
The number of sheep and lambs to be fed for the winter and early spring
market in the United States is expected to be above that of the three preceding years
and may be near the 1954-55 level, points out the AMS. A large portion of the increase
will be in the wheat pasture operations. Feed supplies are abundant in all of the
important lamb-feeding sections of the Nation except a small area of the Northern
Plains.

L I VE S T 0 CK
Cattle and calf offerings at Fort Worth were comparatively small on Mooday,
November _!1, probably as a result of rains throughout the marketing area, reports
the AMS. The cattle~ was an estimated 2,300, reflecting declines of 36% from a
week ago and 26% from a year earlier. Trading on all classes of slaughter cattle
was active. Prices of slaughter steers and heifers were generally steady, and thos e
for cows were strong to 50¢ per cwt. higher than in the latter part of the past
week. Standard slaughter steers brought $23 to $25; most Utility cows, $18.50 to
$19.50; and Medium and Good 550- to 750-lb. stocker and feeder steers, $23 to $27.
The calf supply is placed at 700, compared with 1,000 on the preceding
Monday and 800 on the corresponding date in 1957. Prices of slaughter calves were
strong to 50¢ higher than during the latter part of the past week. Good grades of
slaughter calves brought mostly $25 to $26.50, and stocker and feeder steer calves
cleared at $30 to $32.50.
Monday's hog receipts were about 600, or 100 more than a week earlier but
300 fewer than a year ago. Demand was broad, and butcher hogs sold at prices which
were fully steady with those in the latter part of the previous week; prices of sows
were steady to 25¢ higher. U. S. No. 1 through No. 3 Grades of 195- to 255-lb.
barrows and gilts were quoted at $19 and $19.25.
Sheep and lamb marketings totaled an estimated 1,300, which is about the
same as a week ago but 2l~% below the year-earlier level. Trading was slow, and
prices ranged from 50¢ to $1 lower than in the latter part of the preceding week.
Good and Choice 85- to 103-lb. wooled and No. 1 pelt slaughter lambs sold at $20 to
$21, with most sales at $21.
P 0 UL T R Y
The major Texas commercial broiler markets were uneven at the close of
the trading week ended Fridax, November 14, according to the State Department of
Agriculture. As compared with a week earlier, closing prices were unchanged in
south Texas and 1¢ per lb. lower in ~ ~· Closing prices were 17¢ in south
Texas and 16¢ in east Texas, although almost 46% of the sales in the latter area
were at undetermined prices. During the corresponding period in 1957, closing prices
were: South Texas, 18¢ to 19¢, mostly 18¢; and east Texas, 17¢, with a very few
higher.
On Monday, November 17, commercial broiler markets were steady in south
Texas and barely steady in eas-;-Texas. Trading was light to moderate in south Texas
and normal in east Texas, with the following prices quoted: South Texas, 17¢; and
east Texas, 15¢ to 16¢. (In the latter area, 67% of the sales were at undetermined
prices.)

BROILER CHICK
PLACEMENTS

Percentage increase ~
Previous
Comparable
week
week, 1957

Area

Week ended
November 8, 1958

Texas ••••••
Louisiana ••

2,158,000
367,000

1

3

33
51

22 states,.

27,032,000

1

12

J. z. Rowe
Agricultural Economist