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AGRICULTURAL NEWS OF THE WEEK
FEDERAL RESERVE BANK OF DALLAS

Number 657

Wednesday, August 1, 1962

FARM
INCOME
The Nation's farmers had a realized net income of $12.8 billion, seasonally adjusted annual rate, from their farm operations during January-June 1962, reports the Economic Resea~ch Service. This rate is approximately 2% above that in
the first half of 1961 but is about the same as for the entire year 1961.
Cash receipts from farm marketings in the United States during JanuaryJune totaled nearly 2% more than in the corresponding months last year. Crop receipts - which were boosted by higher prices and a continued large volume of marketings - were substantially larger than a year ago. Lower prices for livestock and
livestock products more than offset the somewhat larger volume of marketings, and
cash returns from farm marketings of livestoGk and livestock products were down
slightly.
According to the ERS, realized gross farm income in the Nation during the
first 6 months of 1962 was also aided by a high rate of Government payments to farmers. Under provisions of the 1962 feed grain and wheat stabilization programs, payments are expected to total about $1.2 billion; payments under these programs in
1961 amounted to just over $800 million.
Higher production expenses through June 1962 offset a large part of the
gain in realized gross farm income. Production expenses during the first 6 months
of the current year are estimated at around $27.5 billion, annual rate, which is
approximately $600 million above the corresponding period in 1961.
ECONOMIC
P 0 S S I BI L I T I E S 0 F
NE W C R0 P S
The economic potentials of three types of new industrial crops are evaluated in a recent U. S. Department of Agriculture report. The crops are (1) annual
pulp crops to supply raw materials for the pulp and paper industry, (2) oilseeds
that are sources of unique industrial oils, and (3) guar, a summer legume and source
of natural gum.
Single copies of the report, New Industrial Crops - Some Economic Considerations, Agricultural Economic Report No. 10, are avaIIable from the Office of
Information, U. S. Department of Agriculture, Washington 25, D. C.
YEAR
FUTURES
MARKETS
I N 1 9 6 2 FISCAL
The futures markets for wheat, corn, oats, and rye were all much larger
in the fiscal year ended June 30, 1962, than in the preceding fiscal year, according to a USDA report based on data from the Commodity Exchange Authority. On the
other hand, total grain futures trading on all markets was about 9% below the previous year b~e of a reduction in soybean trading. Leading in futures trading
was corn, with a trading volume more than double that in fiscal 1961. Soybean
futures comprised the second largest market, although the quantity traded was 61.5%
below the record-size soybean market in the preceding fiscal year. The wheat futures volume was two-thirds larger than in the 1961 fiscal year.
SMALLEST
NUMBER
OF
CHICKENS
RAISED
The number of young chickens raised (excluding commercial broilers) in the
United States this year is expected to total 317 million, or 8% less than in 1961
and the smallest number since records were started in 1909. According to the

Statistical Reporting Service, all regions of the country except the West report decreases from a year ago. Texas farmers expect to raise 14.2 million chickens in
1962, or 9% fewer than in 1961.
L I VE S T 0 C K
Marketings of all classes of livestock at Fort Worth during the week ended
Thursday, July 26, were below a week ago 7 points out-:rrle" Agricultural Marketing Service. Cattre-Teceipts totaled an estimated 6,900, compared with 8,ooo in the preceding week and 7,700 during the corresponding period of 1961. Trading on slaughter
steers was moderately active, and closing prices were steady to strong as compared
with the preceding Thursday. The majority of the Good 790M to 1,105-lb. slaughter
steers brought $24 to $25 per cwt., and Utility and Commercial cows sold at $14 to
$16.50. Prices for feeder steers were steady to $1 per cwt. higher than a week ago,
with Good 700- to 800-lb. animals quoted mainly at $22.50 to $24.
Calf offerings are placed at 900, or 200 fewer than both a week ago and
a year earlier. Trading on slaughter calves was moderately active, and prices held
mostly steady. Good grades of killing calves brought $23 to $24.50 per cwt., and
feeder steer calves cleared at $23 to $27.50 per cwt.
Hog receipts of approximately 1,400 reflected decreases of 7% from the
previous week and 12% from the corresponding period last year. Compared with the
preceding Thursday, prices for barrows and gilts showed upturns of 25¢ to 50¢ per
cwt. The bulk of the mixed lots of U. S. No. 1 through No. 3 Grades of 195- to
240-lb. butchers brought $18 to $18.50 per cwt.
A total of 7,500 sheep and lambs was received at Fort Worth d.u ring the
week ended July 26, compared with--s;ooo a week ago and 6,600 a year earlier. Trading generally was active, and slaughter spring lambs sold at prices which were 50¢
to $1 per cwt. lower than in the previous week. Quotations on Good. and Choice 69to 105-lb. slaughter spring lambs ranged from $15 to $20 per cwt.

P 0 UL T RY
During the week ended Friday, July 27, commercial broiler markets opened
fully steady in east Texas and stronger in south Texas, reports the State Department of Agricultu:re:- The south Texas market became steady on Tuesday; markets in
both areas remained steady throughout the trading period. Closing prices in south
Texas were 16¢ per lb., and those in east Texas ranged from 15.1¢ to 15.5¢. During
the comparable week in 1961, closing quotations in south Texas were 12¢, and the
weighted average price in east Texas was 13¢.
On Monday, July 30, commercial broiler markets were steady in south Texas
and about steady in east Texas. Prices per lb. were: South Texas, 16¢; and east
Texas, 14.9¢ to 15.5¢.

Area
BROILER CHICK
PLACEMENTS

.

Week ended
July 21, 1962

Percent change from
Comparable
Previous
week, 1961
week

-6

Texas ••.•.•
Louisiana ..

2,470,000
494,ooo

11

-1
-8

22 states .•

37,650,000

-1

-3