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 BANK OF DALLAS
Number
L.t 75
Wednesday, February 4, 1959
LEVELS
F 0 R
COTTON
1 9 5 9 - C R 0 P
On January 30 the U. s. Department of Agriculture announced the levels of
price support for 1959-crop uplan~ cotton, under the alternate program choices made
available to producers by the Agricultural Act of 1958.
For producers who elect program fhoice (~) with "regular" acreage allotments and a higher level of price support, the available support (basis Middling
7/8" cotton, gross weight, at average location) will be 80% of the February 1959
parity price. The dollars-and-cents level to reflect this percentage of parity is
30.40¢ per lb.
For producers who elect program Choice (~) with 40% larger acreage allotments and a lower level of price support, the available support will be 65% of the
February 1959 parity price, or 24.70¢ per lb.
There were no 11A11 and 11 B11 choices for 1958-crop cotton. A single level
of support was available for those who complied with their regular 1958 acreage
allotments. This price support level was 31.23¢ ~lb., reflecting 81% of the
August!, 1958, parity price.
S U P P 0 R T
P R I C E S
A GR I C UL T UR AL
The newly ~ised index of prices received by farmers in the United States
at mid-January was 244% of the 1910-14 average, which was unchanged from a month ago
but was about 1% above the year-earlier level, according to the Agricultural Marketing Service. Lower prices for pogs, cotton, dairy products, fruit, and tobacco were
offset by increases for commercial vegetables, cattle, chickens, and calves.
The revised parity index {which reflects prices paid for commodities and
services, plus interest, taxes, and wage rates) was 292 on January 15, which is 1%
higher than a month earlier and nearly 3% above the index on the corresponding date
in 1958. Prices paid for commodities, farm wage rates, and the preliminary 1959
estimates of interest and taxes all averaged higher than in the preceding month.
The parity ratio declined to 82, which was 1% below both a month ago and
a year earlier.
L 0 WE R
STOCKS
P E S T I C I DE
C ARR Y - 0 VE R
Carry-over stocks of pesticides in the Nation on September 30, 1958, averaged 10% below the year-earlier level, according to a recent report of the USDA.
Larger carry-overs of newer materials, especially organic phosphates and weed killers,
were more than offset by lower inventories of DDT and of grain and soil fumigants.
up
MOHAIR
EXPORTS
U. s. exports of mohair and other wool-like specialty hair totaled 12.1
million lbs.,-clean basis, during ~uarv-November 1958, reports the Foreign Agricultural Service. This volume compares with 9.6 million lbs. shipped during the
corresponding months a year earlier and the previous record of 11.8 million lbs.
exported in 1956.
L I VE S T 0 C K
Livestock marketings at Fort Worth on Monday, February 1, were below the
week-earlier levels as a result of inclement weather and icy roads. According to
the AMS, the cattle supply totaled an estimated 1>600 head, compared with 2,000 a
week ago and 1,700 a year earlier. Trading was active on all classes, and prices
were mainly firm to strong, Good 800- to 1,100-lb. slaughter steers brought $26.50
to $27.50 per cwt.; most Utility cows, $19 to $20; and Medium and Good 550- to 700lb. stocker and feeder steers, $24 to $30.
Calf receipts are placed at 400, or 43% fewer than on the preceding Monday
but about the same as a year ago. Prices of slaughter calves were strong. Good
grades of slaughter calves sold at $27.SO to $29, and stocker and feeder steer cal ve~
cleared at $30 to $33.
Monday's hog offerings were approximately 800, which was 200 below the
week-earlier supply and 100 fewer than on the corresponding date in 1958. Trading
was fairly active. Most barrows and gilts sold at prices which were 25¢ per cwt.
higher than in the latter part of the past week. Most U. s. No. 1 through No. 3
Grades of 195- to 235-lb. butchers brought $16.75 to $17.25.
The sheep and lamb supply totaled 3,600, compared with 6,500 on the preceding Monday and 1,700 a year earlier. Trading was fairly active, with slaughter
lambs (which comprised the major portion of the receipts) quoted at fully steady
prices. Good and Choice 90- to 105-lb. wooled and fall-shorn slaughter lambs
brought $16.50 to mainly $17.
MEAT
P R 0 DUC T I 0 N
The output of . red~ in the Nation's commercial slaughter plants amount ed
to 24.4 billion lbs. in 1958, reflecting a 5% decline from the year-earlier total,
reports the AMS.---Production of beef was do~ 6%; veal, 23%; and lamb and mutton,
3%. Pork outturn was about the~ as in 1957. - - - -POULTRY
The Texas commercial broiler markets were weaker during the trading week
ended Friday, January 30, as supplies of processed poultry throughout the Nati~
~ally depressed prices of live birds, according to the Texas Department of Agri·
culture. As compared with a week earlier, closing prices were fully 2¢ ~ lb.
lower in east Texas and 1¢ lower in south Texas. Closing prices were: South
Texas, 17¢, wi~very few lower, and east Texas, 15¢ to 16¢. (In the latter area,
58% of the sales were at undetermined prices.) During the corresponding period in
1958, closing prices were 22¢ to 23¢ in south Texas and 21¢ to 22¢ in east Texas.
On Monday, February 1, broiler markets remained weak in both south and
east Texas. The following prices were quoted: South Texas, 16¢, and east Texas>
15¢ to 15~¢, although 56% of the sales in east Texas were at undetermined prices.
BROILER CHICK
PLACEMENTS
Percentage change from
Previous
Comparable
week
week, 1958
Area
Week ended
January 24, 1959
Texas ••••••
Louisiana,.
2,227,000
397,000
7
2
-8
7
22 states ••
30,356,000
3
6
J. z. Rowe
Agricultural Economist
@FedFRASER