Al6-Lancaster Farming, Saturday, October 13,2001
GRAIN, CATTLE. HOG.
& MILK BFP
FUTURES MARKETS
Markets Courtesy of Chicago Board and Mercantile Exchange
Closing Bids: Thursday, Oct. 11,2001
Soybean Meal
165.5
163.9
162.5
OlMar
160.2
Weekly Dairy Market Outlook
Ken Bailey
Penn State
Oct. 4, 2001
Cheese Prices Weakening
• Blocks and barrels down at
the CME.
• CME butter weakens.
• Dairy production down in
August.
The impact of increased
butter imports and weaker dairy
product sales because of a slow
ing economy are having an
impact on butter and cheese
prices at the Chicago Mercantile
Exchange this week.
Grade AA butter prices set
tled ' at ‘51.70 per' poUhd On
Wednesday, Oct. 3, down from
$1.90 per pound last Monday,
Sept. 24. And both blocks and
barrels closed lower at the Chi
cago Mercantile Exchange this
week.
As of Thursday, Oct. 4, bar- Looking into 2002, Class 111
rels were $1.55 per pound and Reduced levels of butter and prices are expected to remain
blocks were $1.57 per pound. cheese production would nor- above $11.50 per CWT through
Ihis was down trom $1.67 per mally result in strong commod- the spring. This is surprising
pound for barrels and $1.71 for ity prices. However, weaker given the outlook tor more milk
blocks on Monday, Sept. 24. demand for dairy products this an d weaker demand. Despite a
USDA’s Dairy Product Pro- quarter must be occurring. limitation on dairy replace
duction report was released Butter and cheese buyers in Chi- ments, the milk supply could
today. As expected, butter pro- cago are likely anticipating still grow in 2002 if yield per cow
duction in August was 76.5 mil- softer demand and are therefore recovers. And the most optimis
lion pounds, down 8.5 percent trimming their purchases. tic forecasts for the U.S. econ
relative to a year ago. Hot and . , , . omy expect no recovery until the
humid weather in August de- . The lower cash cheese prices q H uarter of 20 02. Recall
pressed butterfat production have weighted on the Class 111 that the Class 111 price averaged
ancl' hulk volume. As a result, at the Chicago Mercan- S 9 ?4 Der cwx £ 2000 . So the
' rrtc"“txcnange. As ul (Jli. 4. tire
Oats
less cream was available foi pro
cessing. American cheese pro
duction in August was higher
than expected at 286.8 million
pounds, down just 1.7 percent.
This was in line with the drop in
U.S. milk production in August.
Mozzarella cheese production
was down 2.4 percent, and total
cheese production was down 2.9
percent.
Lean Hogs
Date
10/11/01
10/11/01
10/11/01
10/11/01
10/11/01
10/11/01
10/11/01
10/11/01
10/11/01
Oct 01 5725 57305685 5687
Dec 01 5170 523051705192
Feb 02 5285 5355 52855327
Apr 02 5390 5447 5390 5427
May 02 6000 601059506002
Jun 02 6175 622561756225
Jul 02 5975 60005975 5997
Aug 02 5885 5905 5885 5897
Oct 02 5325 53505325 5350
Composite VolumeOpenjnt
10/10/01 16290 37493
Live Cattle
Date
10/11/01 Oct 01 6905 695268526855
10/11/01 Dec 01 6947 699068806887
10/11/01 Feb 02 7295 734072557262
10/11/01 Apr 02 7500 753574807492 unch
10/11/01 Jun 02 7075 710070607075 +8
10/11/01 Aug 02 7115 713070907100 -2
10/11/01 Oct 02 7335 733572607265 -50
Composite Volume Openjnt
10/10/01 16821 98610
Pork Bellies
Date
10/11/01 Feb 02 7200 732071157187 -38
10/11/01 Mar 02 7150 7265 70957140 +4O
10/11/01 May 02 7400 740074007400 -20
10/11/01 Jul 02 7290 732571907190 -40
10/11/01 Aug 02 7330 733073307330 unch
Composite VolumeOpenjnt
10/10/01 1000 2407
market expects the September
Class 111 price to be $15.89 per
CWT. October Class 111 futures
were $14.43 per CWT, well
below the $15.40 level a few
weeks ago. And Class 111 prices
are expected to fall to $11.90 by
December. This represents a sig
nificant reduction from a month
ago.
r\ . i T .Previous Previous
Open H.gh Low Last Chge Volume open Int
3654 5622
10499 21691
1255 5718
703 2761
50 588
75 618
36 208
5 125
13 162
r\ D ' li t . Previous Previous
Open High Lo» Last Chge Volume Qpen
4015 7060
8493 49100
2757 27238
0 0
921 12487
435 2385
200 340
~ . , , * Previous Previous
Open High Low Last Chge Vo|ume open Int
755 2148
241 174
4 63
0 19
0 3
-15
-28
-13
outlook for Class 111 prices for
2002 looks pretty good.
Average Farm Feed
Costs for Handy
Reference
To help farmers across the state to
have handy reference of commodity
input costs in their feeding operations
for DHIA record sheets or to develop
livestock feed cost data, here’s last
week’s average costs of various ingred
ients as compiled from regional reports
across the state of Pennsylvania.
Remember, these are averages, so you
will need to adjust your figures up or
down according to your location and the
quality of your crop.
Corn, No.2y 2.27 bu., 4.06 cwt.
Wheat, N 0.2 2.49 bu., 4.16 cwt.
Barley, N 0.3 —1.42 bu., 3.04 cwt.
Oats, N 0.2 1.42 bu., 4.42 cwt.
Soybeans, No.l —4.22 bu., 7.05 cwt.
Ear Corn 57.80 ton, 2,89 cwt.
Alfalfa Hay —120.00 ton, 6.0 cwt.
Mixed Hay— 116 25 ton, 5.81 cwt.
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