Lancaster farming. (Lancaster, Pa., etc.) 1955-current, May 13, 2000, Image 16
Al6-Lancaster Farming, Saturday, May 13, 20(X GRAIN. CATTLE, HOG, &MILKBFP FUTURES MARKETS Markets Courtesy of Chicago Board and Mercantile Exchange Closing Bids: Thursday, May 11,2000 Daily Prices As of Com MAY 00 JUL 00 SEP 00 NOV 00 DEC 00 JAN 01 MAR 01 MAY 01 JUL 01 SEP 01 DEC 01 DEC 02 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 Total 05/10/00 Daily Prices As of Soybeans MAY 00 JUL 0 0 AUG 00 SEP 00 NOV 00 JAN 01 MAR 01 MAY 01 JUL 01 NOV 01 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 Total 05/10/00 Daily Prices As of Oats 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 MAY JUL SEP DEC MAR MAY Total 05/10/00 Table 1. Chicago Mercantile Exchange, Weekly Averages 5-May-00 28-Apr-00 21-Apr-00 14-Apr-00 Cheese. 500 lb barrels 40-lb. blocks Nonfat dry milk Extra Grade Grade A Butter Grade AA 1.1658 1.0833 Source: Dairy Market News, AMS, USDA (http://wwwams.usda.gov/dairy/mncs/weekly.htm). Table 2. NASS Weekly U.S. Average Survey Prices 29-Apr-00 22-Apr-00 15-Apr-00 .8-Apr-00 Cheese: 500 lb. Barrels 1/ 1.0641 1.0672 40-lb. blocks 1.0977 1.0961 Butter 1.0332 1.0152 Nonfat dry milk 1.0062 1 0099 Dry whey 0 1779 0 1763 Source ■ Dairy Product Prices, NASS, USDA (http://usda mannhb cornetl.edu/reports/nassr/pnce/dairy/1999/) 1/ Adjusted to 39% moisture - Thursday, 11 May Volume Open_lnt 69127 489393 Thursday, 11 May Volume Qpen_lnt 63806 197709 - Thursday, 11 May Open High 00 1290 1290 00 1230 1236 00 1272 1274 00 1320 1320 01 1372 1376 01 1416 Volume Opon_lnt 1151 17904 1 1000 1.0925 1.1000 1.1005 1.0300 1.0300 1.0300 1.0300 1.0300 1.0300 1.0300 1.0300 Last Chge 2376 +lO 2446 +4 2526 +lO 2576 +l2 2616 +lO 2656 +l2 2692 +l4 2740 +lO 2762 +6 2680 +lO 2704 +lO 2694 -4 LOW 1282 1230 1264 1310 1372 1416 Last 1284 1232 1270 1314 1376 1416 1 0688 1 0975 1.0750 1 1030 1.0250 1.0525 1.0723 1.0985 1.0529 1 0102 0.1766 1.0809 1.0986 1.0840 1.0090 0.1770 Lean Hogs Daily Prices As of Date 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 Composite Volume Open_lnt 05/10/00 11254 66902 Live Cattle Daily Prices As of Date 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 05/11/00 Composite Volume Open_lnt 05/10/00 16132 116890 By Ken Bailey Penn State University May 5, 2000 April Class and Component Prices Announced ■Class 111 once is $9.41 per cwf levels ■CME butter showm. U.S. wblessness rate at 30- year low! A number of interesting reports were released today USDA announced the class and component prices for April 2000. And, the Bureau of Labor Statistics announced today that the U.S. unemployment rate fell in April to 3.9 percent. The Class I mover for April was announced on March 17 at $10.93 per cwt with a base skim milk price of $7.70 per cwt. A local Class I differential is added to the Class I mover to determine the Class I price On May 5 USDA announced the rest of the class prices that are applicable to each of the 11 federal milk marketing orders. The Class II price for April is $12.10 per cwt with a Class II butterfat price of $1.1422 per pound. The Class 111 price is $9.41 per cwt with a Class 111 skim milk price of $5.63 per cwt. And the Class IV price is $11.38 per cwt with a Class IV skim milk price of $7.68 per cwt. These class prices along with the utilization rates in each federal order (i.e., how much milk is used for Class I purposes) will be used to compute the pool values and the Producer Price Differentials, or PPD. The PPD’s are unique for each order and are equal to the pool value less the Class 111 price of $9.41 per cwt. Farmers shipping milk into orders that use multiple component pricing will also see component prices on their milk checks. The April component values are butterfat, $1 1352 per pound; nonfat solids, $0 8537 per pound, and protein, $1.7399 per -Thursday, 11, May Open High Jun 00 JulOO Aug 00 Oct 00 Dec 00 Feb 01 Apr 01 Jun 01 JulOl Thursday, 11 Open High 6842 6890 7140 7287 7430 7640 7500 Jun 00 Aug 00 Oct 00 Dec 00 Feb 01 Apr 01 Jun 01 pound. These component values are directly related to the following NASS April average commodity prices: butter, $1.0449 per pound; nonfat dry milk, $1.0078 per pound; cheese, $l.lOll per pound; and dry whey, $0.1765 per pound. The most surprising number released was the April Class 111 price of $9.41 per cwt. This was directly related to a NASS cheese price of $1 1011 per pound. This raises some important questions. First, has use of a national NASS survey resulted m lower prices than if we had relied on the cash market at the Chicago Mercantile Exchange? Second, has use of the new Class 111 formula under federal order reform resulted in a lower price when compared to the old Basic Formula Price? The January through April data strongly suggest that is the case. USDA will be holding hearings on this question next week. Cheese prices at the Chicago Mercantile Exchange were relatively stable this week. Barrel cheese prices were $l.lO per pound. Block cheese prices fluctuated at $1.09-$ 1.10 per pound. Process and block cheese prices are stuck at support price levels. During the week of May 1-5, the Commodity Credit Corporation purchased a million pounds of Midwestern cheese under the dairy price support program (332,909 lbs of block cheese, and 673,200 lbs of process cheese). streneti The biggest surprise on the Chicago Mercantile Exchange was the butter market. Grade AA prices rose from $1.13 per pound on Monday, May 1 to $1.2375 on Honey Producers To Meet MILLERSVILLE (Lancaster Co.) The Lancaster County Honey Producers will conduct their regular meeting on May 16 at the home of Alva Martin at 440 A Stehman Church Rd., Mil lersville. Hives will be opened at 6:30 p.m. and business meeting and . Prev. Last Chge Vo , ume 6230 3140 1213 343 182 108 36 Low 7275 -7 7200 unch 6852 -S 5937 -10 5707 5735 5597 6325 6140 . . PreV - Last Chge Vo , ume -17 8200 -S 5006 Low 6825 6895 7165 7302 7445 7650 7490 6800 6855 7120 7280 7427 7635 7490 6842 6907 7177 7320 7457 7665 7510 + 10 +5 -15 -15 +2O 1353 +2O 757 + 10 75 t-5 54 -10 685 Friday, May 5 USD A reports that ice cream production is seasonally increasing, which limits the availability of cream for churning purposes. In addition, USDA reports that buying interest is quite strong following the Easter Holiday, And finally, some good news for struggling dairy farmers. The Bureau of Labor Statistics (BLS) reported today that the April unemployment rate edged down to 3.9 percent (http://stats.bls.gov/news.release/ pdf/empsit.pdf). According to the BLS, "this is the first time the rate has been below 4.0 percent since January 1970." The nonfarm payroll employment increased by 340,000. In addition, the average hourly earnings rose by 6 cents in April and by 3.8 percent over the year. This report has some good implications for the U.S. dairy industry. First, the lower the unemployment rate, the more workers there are with paychecks that they can use to eat outside the home. That translates into greater sales of dairy products like cheese and butter. The only concern with this report, however, is that the unemployment rate is so low that it may trigger the Federal Reserve to raise interest rates a quarter to a half percentage point next week to fight potential inflation. But many analysts argue that that may happen anyway. For more information on market and federal order data, see my Penn State Dairy Outlook website at: http://www.aers.psu.edu/dairyoutl ook/. speaker will begin at 7:30 p.m. Bring lawn chairs. Speaker will be Queen breeder Dennis Keeney from Bethel. Ev eryone is welcome it is a free meeting. Call (717) 664-5130 or (717) 336-5860 for more infor mation. Prev. Open_lnt 29343 15293 10620 6012 4193 1156 257 25 Prev. Open_lnt 44054 35888 20208 7698 3606 4197 1239