CORN COMMENTS
The national average corn basis strengthened 4 cents to 3 1/4 cents above March futures. The national cash corn index price gained 9 cents from last Wednesday to $4.49. Despite the choppy price action over the last few months, strong demand for corn has helped basis remain relatively strong.
National basis is firmer than the three-year average of half a cent below futures.
SOYBEAN COMMENTS
The national average soybean basis firmed half of a cent to 12 cents below March futures. The national cash soybean index price is up 20 cents from last week at $10.53 1/4. Cash and futures markets alike remain volatile for soybeans.
National basis is weaker than the three-year average of 1 1/4 cents above futures.
WHEAT COMMENTS
The national average soft red winter (SRW) wheat basis slipped 2 3/4 cents to 28 1/4 cents below March futures. The average cash price increased 8 1/4 cents to $4.89 1/4, a welcome sign after prices declined through most of December. SRW basis still remains firmer than the three-year average of 45 1/2 cents under futures. Wheat export sales slumped in December after a strong first half of the marketing year.
The national average hard red winter (HRW) wheat basis firmed 23 cents to 73 cents below March futures. The average cash price increased 20 1/2 cents to $4.57 3/4. HRW basis continues to be weaker than the three-year average of 53 cents under futures despite the large improvement that occurred this week.
COTTON COMMENTS
The seven-market average cotton price last week was 60.66 cents, up 43 points from the previous week. Last year at this time the weekly cotton spot price was 64.66 cents. USDA reported transactions of 74,541 bales last week. Cotton markets have nudged higher this week due to potential cuts to USDA’s production estimate and a slight rise in export sales numbers in recent weeks.
Basis was unchanged at 371 points under the March board, wider than the three year average of 302 points under the contract.
CATTLE COMMENTS
Cash cattle trade averaged $231.68 last week, up $2.35 from the previous week. USDA has reported very light cash trade this week, but trade on Tuesday saw steers fetch an average of $232.00 which sets up the potential for another increase in weekly cash prices.
Choice boxed beef gained $6.83 over the past week to $354.28. Consumer demand for beef has remained solid offering support to wholesale prices. Last year at this time choice beef was $325.79,
HOG COMMENTS
The average lean hog carcass price was unchanged from the past week at $69.40, although negotiated trade has been notably light this week. Last year’s lean carcass price on this date was $79.56.
The pork cutout value gained $1.27 over the past week to $92.29. Last year at this time, the cutout price stood at $88.40. Retailers looking to re-stock pork after the high holiday demand have helped offer some support in prices after the declines seen in mid to late December.