TSCRA Daily News Update, July 29, 2008

TDA Market Recap, 7-28-08

For the week ending July 26, feeder cattle price trends at Texas auctions were mixed, but mostly $2 to $4 per hundredweight higher compared with a week ago. However, some sales were as much as $5 lower. Fed cattle prices declined because of lower beef prices, which in turn pressured the feeder cattle market.

Cotton prices were higher on concerns dry weather on the Texas Plains would reduce production. Corn markets were lower as weather in the Midwest remained favorable for crop development, but prices did rise modestly at the end of the week.

As for futures markets, finished cattle, cotton and lumber were higher, while feeder cattle, wheat and corn were lower.

Hurricane Dolly brought much-needed rain to South Texas and the Trans-Pecos region, but some unharvested cotton and grain sorghum were seriously damaged in the process. Parts of South Texas recorded more than 10 inches of rain, while areas of the Trans-Pecos, South-Central Texas and the Upper Coast reported up to 3 inches.

In areas that received little or no rain, crops suffered from heat stress. Corn harvest continued in the Blacklands with 51 percent of the acreage mature statewide. Cotton was developing rapidly and 41 percent of the crop is setting bolls. The grain sorghum crop is 40 percent harvested. Statewide, crop conditions were rated mostly fair to good.

- - - - - - Week Ending - - - -

Texas Cash Markets: 07/26/08 07/19/08 07/28/07

Feeder Steers ($/cwt) 110.34 109.76 119.59
Fed Cattle ($/cwt) 94.97 97.75 91.03

Slaughter Lambs ($/cwt) 90.00 97.25 95.50
Slaughter Goats ($/cwt) 99.00 100.50 105.50

Cotton                 (¢/lb)       65.00       63.50     57.00
Grain Sorghum           ($/bu)        9.07       9.63        5.33
Wheat                   ($/bu)      7.52       7.58       5.83
Corn                    ($/bu)        5.70       5.98       3.62

Watermelons ($/lb) 0.18 0.18 0.10

Futures Markets:

Feeder Cattle ($/cwt) 111.75 113.88 117.13
Finished Cattle ($/cwt) 97.83 97.50 93.63

Cotton                  (¢/lb)      71.68      70.35        61.55
Wheat                   ($/bu)         8.32       8.38         6.44
Corn                    ($/bu)         5.77      6.10         3.21

Lumber ($/1000 bd ft) 254.20 246.60 282.00

The cash prices above are market averages for locations covered by the TDA Market News program and do not reflect any particular sale at any specific location.

Feeder cattle prices are for 500-600 pound medium and large No. 1 steers.

Futures prices are quoted for the nearest month contract on the last trading day of the week.

For additional information, contact TDA Market News at 800/252-3407 or visit the TDA market Web site, www.tdamarketnews.com.