Dairy and Poultry

Butter Markets Steadier on Top Grades

Following Monday of the week October 13-18, which was quite generally observed as a holiday, butter markets appeared to have steadied somewhat. Supplies of goods scoring 90 and better were not too plentiful as seasonal quality defects became more noticeable. Under these conditions a little more confidence developed and some fractional advances were attained. Trade was not active, but was sufficient to keep receipts so well cleared that buyers were forced to pay premiums on occasional lots. The greater part of the steadiness, however, was plainly based upon the limited availability of top grades. Medium and undergrades were usually in poor demand. Some accumulation was evidenced and on this class of goods it was a At the buyer's market with an unsettled tone dominating. close of the week this unsettled tone developed into a general feeling of weakness, fractional advances at Chicago were lost, and more pronounced declines affected the eastern markets. Apparently the shakiness of what might be called the under structure of the whole market was beginning to affect what had been the apparently steady and well-built superstructure. Although generally in the background, the storage situation remained as the most important weakening factor. On Monday the monthly cold-storage report as of October 1 was released. Butter holdings on that date were given as 153,271,000 lbs. While this figure was somewhat more than three million lbs. lighter than the month previous, the surplus this year over last, which on September 1 was 53,709,000 lbs., had increased to 57,154,000 lbs.

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Although weekly decreases in production were indicated by all reports, yet the ratio of this year to last showed little change. The combination of circumstances which resulted in this continued heavy production at a time when the storage surplus is not only one of the largest on record, but is actually increasing, gave rise to the pessimistic sentiment which was widespread. The American Association of Creamery Butter Manufacturers reported a decrease of 4.5% from the preceding week and an increase over the same week last year of 15.6%. report of the Minnesota Cooperative Creameries Association, Inc. showed a decrease of 5.43% from the previous week, but with the same two hundred plants reporting, an increase over last year of 21%. Production conditions were reported as good, with pastures green and only a few killing frosts in northern sections. Apparently the only condition which seemed to favor a decided falling off in production this winter was the outlook for high prices on concentrated feed.

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Foreign markets were reported as developing some additional firmness on fancy butter during the week. At Copenhagen the selling price was 615 kroner per 220 pounds, which at the exchange rate of 17.27 equaled 48.27 cents per pound. Exports during the week amounted to 4,500 tubs and 95 casks. hundred tubs were billed to Hamburg, the remainder to England. Reports of returns from butter already consigned to England were not available but apparently even with somewhat higher prices prevailing in European markets the prospects of relieving our domestic situation by export did not appear bright at current prices.

Cheese Markets Easier and Unsettled

The Wisconsin cheese markets were easy and unsettled the greater part of the week October 13-18. Buyers had not yet The extreme price developed any confidence in the situation. reductions which occurred October 3 and 4 on the Plymouth cheese boards resulted in widespread uncertainty and nervousness, and the slight reaction which occurred October 10 apparently did not help matters a great deal. Trade was draggy, with orders small and scattering, although toward the close of the week some slight improvement was noted. However, with general confidence not materially increased, with the butter market apparently in rather unsatisfactory condition, with the cheese surplus showing a tendency to increase as the season progresses, and production keeping up very well, considering the lateness of the season, little real basis for confidence was found.

The storage report of the total U. S. holdings on October 1 which was issued during the week showed stocks amounting

to 73,087,000 lbs., and indicated that the surplus this year over the same date a year ago was reduced during September approximately one and three-fourths million pounds. September storage withdrawals were nearly three million pounds greater than during September, 1923, and from this standpoint conditions were rather more encouraging to dealers. However, since the 1st of October the tendency toward a reduction in surplus seems to be reversing itself somewhat. This conclusion is based upon withdrawals in the 26 cities which continue, but not in a volume necessary materially to decrease the surplus.

Grain

Wheat Prices Reach New High Levels

Renewed export buying of both wheat and rye advanced prices to new high levels during the week October 13-18. Continued favorable weather for maturing the corn crop and lower prices for hogs and cattle had a weakening effect on the corn market and prices declined 4-5¢ per bushel. The oats market was also lower but was relatively firmer than for corn. While the exports of wheat became very heavy again during the week the buying was shifted more to the hard winter wheats for shipment via the Gulf. Premiums for deferred shipment were materially higher than for nearby months; 14¢ over the Chicago December price f. o. b. vessel at the Gulf was being offered for wheat for March shipment; 13¢ over the December was offered for wheat for February shipment and 12¢ over for January, while bids for November and December shipment were only 10-10% over the Chicago December price. Practically all hard winter wheats offered with favorable billing to Gulf ports was being shipped direct for export and only the high protein milling grades were moving to Kansas City and other distributing markets.

The movement of wheat continued heavy, receipts at the principal markets totaling more than 20,000,000 bushels for the week and making the total receipts at these markets for the crop year about 265,000,000 bushels, compared with only about 160,000,000 bushels for the same period last year. There was a further increase of about 2,000,000 bushels in the visible supply, making total stocks in the principal markets about 85,358,000 bushels, compared with 65,840,000 bushels last year. The increase in stocks has not been relatively as large as the increased movement, which indicates that a larger amount of wheat has passed into consumptive channels this year than last. Part of this increase has been absorbed in our exports, which at the close of the week totaled 78,705,000 bushels, compared with 43,648,000 bushels last year.

The milling demand for wheat was of only fair volume, as most mills are well stocked with wheat, and the flour demand continued sluggish. The heavy movement of spring wheat has practically eliminated the demand for hard winter wheat by the spring wheat mills, and premiums are slightly lower. Thirteen per cent protein No. 2 hard winter wheat sold at Kansas City around 6e over the December price with the 12% protein at 4e over and the 12% protein at around 12-2¢ over. It is estimated that more than two-thirds of the Southwestern crop has already been marketed, but interior elevators in Kansas reported a continued heavy movement from the farms.

The export demand in the spring wheat markets was less active than in the winter wheat markets, due partially to the

undesirable quality of a good amount of the spring wheat receipts. The arrivals of spring wheat at Minneapolis showed the effect of damp weather, and more than one-third of the Canadian receipts at Winnipeg were reported to be grading No. 3 or lower. Good dry wheat was in excellent demand from mills and shippers at Minneapolis, and premiums were around 20-22¢ over the December price for best quality No. 1 dark northern spring wheat.

Red winter wheat prices continued very firm and at a premium of about 10 per bushel over the hard winter wheat. New high prices for the crop year were reached at Cincinnati, St. Louis, and other winter wheat markets.

Export buying, particularly by Norway and Germany, was renewed for rye, and prices advanced 6-7¢ during the week. European requirements are much larger than last year because of the smaller crop in the producing countries, and this is causing an urgent export demand for all offerings of rye from this country. Exports at the close of the week totaled 24,118,000 bushels, which is about 7,000,000 bushels larger than the total exports for last year.

Continued favorable weather for the maturing of the crop, together with the approach of the new crop movement, had a decidedly weakening influence on the corn market. Lower cattle and hog prices were also a weakening factor, and prices declined 2-3 during the week, December corn at Chicago being quoted at the close at $1.094, compared with $1.11 at the close of the previous week.

New corn was being marketed in increasing quantities in Texas and Oklahoma. Fort Worth receipts of Oklahoma corn were reported being sold to exporters for shipment to Europe. The first cars of new corn were received at Kansas City and Indianapolis during the week but no movement of volume is expected for about 30 days. The movement of old corn continues of good volume and stocks in the principal markets continued to increase, total stocks at the close of the week being estimated at 8,395,000 bushels compared with 988,000 bushels at the corresponding time last year.

The cash demand is of only fair volume as feeders are substituting oats and other cheaper grains wherever practicable. No. 2 and No. 3 corn, however, was in sufficient demand to absorb most of the offerings at prices ranging from $1.05-$1.10 per bushel at the various markets.

The movement of oats continued very heavy and stocks totaling 62,785,000 bushels have now accumulated in the principal markets. Prices declined slightly with corn but the tone of the market continued fairly firm as the trade apparently considered the oats market too low compared with that of wheat and corn. The demand for oats was fairly active from both shippers and cereal interests and prices ranged around 50 per bushel for No. 3 white oats at the principal markets.

The barley market continued firm and there was an excellent demand for the good malting grades. December barley at Minneapolis advanced 1ge and closed on Friday at 89%e. Cash barley at Minneapolis was quoted at from 76-91¢ and No. 3 barley at Milwaukee at 91-984. Export sales of about 150,000 bushels were also reported for the week.

The flax market continued its upward trend as receipts continued light. There was no material increase in receipts at Minneapolis and Duluth and the Canadian movement has been very slow in getting under way. Eastern crushers were active buyers of flaxseed on the northwestern markets in an effort to obtain their supplies before the close of lake navigation.

1924-25 Wheat Requirements of Italy

Italy's import requirements of wheat during the current season may be estimated at between seventy-five and one hundred million bushels. During 1922, when the Italian wheat crop amounted to 162,000,000 bushels, Italy had to import 112,000,000 bushels to supplement domestic production, and in 1923, when the domestic crop amounted to 225,000,000 bushels, only about 78,000,000 bushels. This year's crop is placed at 171,000,000 bushels, a reduction of 50,000,000 bushels from the 1923 yield, but considering the higher prices prevailing this year, together with the availability of substitutes for wheat and the restrictions that have been placed on the export of wheat and wheat products from Italy, it is not likely that Italy's increase in imports will be proportional to the decrease in production. While the consumption of wheat has increased in rural districts throughout Italy since the war, the export restrictions recently imposed will have a considerable bearing on the national supply, particularly since Italy has lately been exporting increasing quantities to France and Switzerland.

Hay

Hay Market Quiet

The hay market was quiet to dull during the week October 13-18. The demand was fair and offerings were slightly in excess of buyers' needs. Good hay was scarce and sold readily but ordinary and low grade hay was slow sale and mounting storage charges forced receivers to cut prices on some of this kind in order to move it.

With a heavy crop of tame hay in the territory including Minnesota, Iowa, Missouri, and eastward to New England there will be a large surplus of hay on farms which can be moved to market if prices prove attractive. However, the financial position of the farmers is much stronger than a year ago, so that there will be less pressure to sell. Market needs should be carefully studied in deciding what hay to ship and especial caution should be used in going to the expense of baling and shipping low grade hay while the demand for it is light.

no No. 1 hay arriving. Only the best timothy was wanted at Richmond and Baltimore as the heavy local crop supplied the demand for other grades. Offerings of high-grade hay were light at Pittsburgh, but low grades sold at cut prices.

Timothy declined 50 cents per ton at Cincinnati at the close of the week account liberal offerings throughout the week. Good hay moved readily but the warm weather continued to restrict the demand for rough hay and low grades were hard to to sell. Country advices indicated that the heavy movement would continue. Receipts were light at Chicago and the market was firm with active competition for good hay. Increased receipts resulted in an easier market at Minneapolis and St. Paul and prices averaged about $1 per ton lower. Timothy was steady at St. Louis and Kansas City although eastern States were underbidding the latter market for southeastern shipment. The alfalfa market was steady with more active demand. There were some calls at Richmond for No. 1 second cutting but the market was easier at Cincinnati. There was a light demand for high grade alfalfa at Chicago where only one car was received. Alfalfa was $1 higher at New Orleans account light receipts Prices advanced slightly at Omaha for good quality hay but the demand for off-grades was limited. Buyers wanted green dairy alfalfa. The demand at Kansas City was good with improved demand from the Southeast. Mills were good buyers although they were trying for lower prices. Dairies and feeders continued in the market.

The increased movement continued at Minneapolis and St. Paul with more prairie going through market channels than the week before since the stockyards did not raise their bids during the advance of the previous week. Prices declined about $1 per ton at these markets. Offerings were liberal at Omaha and the better grades moved slowly while the low grades were very hard to sell. Prices were reduced about 50 There was some demand from the South but cents per ton. declining cotton prices were reducing the inquiries from this section.

Timothy Seed Prices and Movement

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Prices of alfalfa at the principal markets are slightly higher than at this time in 1923 and 1922, while timothy prices are under last year's level but higher than in 1922. Prairie prices average lower than in either 1923 or 1922.

The timothy market was quiet to dull with Chicago and Kansas City the only markets displaying strength. The best grades continued in light supply at Boston and commanded full prices, but the bulk of the receipts consisted of medium and low grades and these grades moved with difficulty. Poor hay was almost uusalable. Offerings at New York were in excess of buyers' needs and the market was dull although top grade hay in large bales sold easily. Two-wire bales were not wanted and small bales sold $1-$2 per ton under large bales. A large quantity of low grade, stained, and weedy sample hay met with no demand. The Philadelphia market was practically unchanged with almost

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Feed

Demand for Feedstuffs Continues Light

Excellent weather for fall pasturage in most sections of the country during the week October 11-18 had a tendency to check the demand from the small consuming trade as well as from mixers. Purchases were almost entirely for small lots to meet spot or quick shipment. Mixers complained of a lull in the demand for their manufactured feeds which was largely due to the excellent pastures and the approaching movement of new crop corn.

Prices for most feedstuffs eased off as a result of this lack of buying interest. Fortunately for the market, the offerings by mills and resellers were not heavy, stocks being apparently in strong hands.

It was noted, however, that with the decline in the coarse grain markets some of the speculative operators who were buying quite extensively during the past few weeks lost some of their enthusiasm and reduced their bids.

It is usually during the month of October when milling operations reach their peak that offerings are exceedingly heavy. This year conditions are somewhat different, the bulk of the October output of mills having been contracted for some time ago. As a result there is little pressure of offerings noted and the condition of the markets could neither be described as strong or decidedly weak. A fair demand would strengthen prices immediately, while offers to sell even a small volume of feed would have the opposite effect.

Production of most feedstuffs and the movement were good. Stocks were generally plentiful.

Wheat mill feeds.-Quotations for wheat mill feeds were from 50 cents-$1 lower than last week. The spread between bran and middlings prices of about $2 per ton remained unchanged. Heavy feeds were firm with mill offerings of these grades meager. The demand for low grade and clear flours has been good, hence milling operations have been adjusted to make a minimum amount of flour middlings and red dog. Flour middlings and red dog were quoted at $32 and $39, respectively, in the Minneapolis market and were in good request. In the Kansas City market bran for November shipment sold at $25 and December shipment at $26. Supplies of wheat feeds in consuming channels were reported as good, though not greater than at this time last year. Mixers are carrying moderate stocks of bran shorts, and middlings, sufficient to last them for some time unless a better demand for their product develops. Speculators appeared well supplied both with storage holdings and contracts for future shipment. With quite an improvement in the flour business, both export and domestic, it was thought by the trade that the mills are again "long" on feed and possibly would reenter the market in case the demand for mixed cars of flour and feed was insufficient to take care of their surplus. Distributing markets were irregular and a wide range in quo

tations was noted. Canadian mills offered pure bran and Standard middlings in the Northeast at $32.50 delivered Philadelphia rate points, or 50 cents-$1 lower than prices quoted by the West. Production and the movement were good.

Cottonseed cake and meal.-Cottonseed cake and meal prices felt the effect of reselling pressure on slab cake at the Gulf. They were 50 cents-$1 per ton lower for all percentages. Weather conditions appeared against the heavy use of cottonseed meal and little demand was noted from sections which usually contract heavily at this season of the year. Texas mills were fairly well sold up on slab cake but offerings from Oklahoma were very liberal. Cake and meal of 43 per cent protein content was offered at $44.70 per ton in Kansas City for November-December shipment, these positions being even easier than the spot market. Transit shipments were rather heavy and difficult to place. Mill stocks were good and the movement was light.

Linseed cake and meal. The demand for linseed cake and meal was poor. Offerings were extremely liberal both by mills and resellers. As a result of these conditions prices declined $1-$1.50 per ton. Production was heavy and the fact that shipping directions were difficult to secure which made it necessary for the mills to reenter the market with quick shipment meal had a very depressing effect on prices. Shipments were good. From Minneapolis 6,259,723 pounds of cake and meal were forwarded compared with 4,476,355 during the same week last year. Inquiries from exporters and mixed-feed manu facturers were light. The movement was heavy.

Gluten feed. The demand for gluten feed was light. Offerings were liberal. Resellers pressed the market with transit stuff purchased some time ago which they tried to dispose of at discounts of $1-$1.50 per ton from mill prices. Production was heavy. A few of the larger mills were reported as storing part of their output because of their inability to place it, rather than to meet the competition from resellers. Mill prices were unchanged and the guaranty against lower prices, if any, on date of arrival remained effective. The movement was heavy. Hominy feed. Supplies of hominy feed were in excess of the demand. Both near-by and deferred shipment offerings were heavy. Quotations in most markets were 50 cents per ton lower than last week but in the absence of selling pressure prices held fairly firm. Yellow and white hominy feed were offered at the same price in most markets. In Chicago the heavy offerings of white hominy made it possible to secure it at 50 cents less than was asked for yellow hominy. Production and the movement were heavy.

Alfalfa meal.-The alfalfa-meal market was practically unchanged from last week. The demand was mostly for No. 2 meal and that grade showed a slight advance in a few of the markets. Moderate declines were reported in southwestern markets in sympathy with the lower prices for hay. Offerings were only fair and few mills cared to sell beyond 30 days except where they could get premiums high enough to protect them. Choice meal was quoted in Chicago at $30, and No. 2 could be bought at $5.50 per ton less. Spot stocks and the movement were light.