Soybean futures led the CBOT higher today even as wheat futures fell hard. Outside markets were supportive as the US dollar weakened and energy futures strengthened (WTI crude oil is up 7 weeks in a row and is at a 4-month high). But the key factor for soybean futures strength is the dry weather in Argentina. The sell-off in wheat futures didn’t appear to be on fundamentals, but could have been fund liquidation; nevertheless, the chart now has a bearish “key reversal” which could pressure CBOT wheat tomorrow.

Cattle futures closed higher, but off the highs of the day. Buying was encouraged by firm boxed beef values and news that Japan may be ready to accept beef from cattle up to 30 months of age (limit is 20 months now). Choice UP 0.75 at 190.59; Select UP 1.29 at 183.90.

Lean Hog futures closed slightly higher, supported by the strong cattle futures market.

Corn Mar +1 728.5; Jly +1 722; Dec -.5 590

Bean Mar +22.5 1452; Jly +21 1431; Nov +20 1312.5   Meal Mar +7 422; Oct +5 365.5   Oil +75 5243

Wheat Mar -12 779; Jly -11 793   KC -13 831; MGE -10 864

LC Feb +77 12572; Apr +65 13047; Oct +62 13145 FC Jan +50 14440; Apr +80 14965; Aug +92 15797 LH Feb +35 8570; Apr +20 8827; Jly +35 9700 Milk Jan +2 1813; Feb +2 1730

Oats +3.5 359

Rice +24 1540

US$ -.2%

Dow +62 13712 SP +7 1493 NAS +8 3143 Tran +62 5757   VIX -.03 12.43

WTI +64 9668 Brent +81 11252 Gas +3 283 NG -1 356 HO +2 307 Eth +2 239

Gold +7 1694 Slvr +24 3218

Farm Service Agency Announces Important Program Updates  WASHINGTON, Jan. 22, 2013—The U.S. Department of Agriculture’s Farm Service Agency (FSA) reminds producers that the American Taxpayer Relief Act of 2012 extended the authorization of the Food, Conservation, and Energy Act of 2008 (the 2008 Farm Bill) for many Commodity Credit Corporation (CCC) commodity, disaster, and conservation programs through 2013. FSA administers these programs. 

The extended programs include, among others: the Direct and Counter-Cyclical Payment Program (DCP), the Average Crop Revenue Election Program (ACRE), and the Milk Income Loss Contract Program (MILC). FSA is preparing the following actions: 

• FSA will begin sign-ups for DCP and ACRE for the 2013 crops on Feb. 19, 2013. The DCP sign-up period will end on Aug. 2, 2013; the ACRE sign-up period will end on June 3, 2013.  
• The 2013 DCP and ACRE program provisions are unchanged from 2012, except that all eligible participants in 2013 may choose to enroll in either DCP or ACRE for the 2013 crop year. This means that eligible producers who were enrolled in ACRE in 2012 may elect to enroll in DCP in 2013 or may re-enroll in ACRE in 2013 (and vice versa).  
• All dairy producers’ MILC contracts are automatically extended to Sept. 30, 2013. Eligible producers therefore do not need to re-enroll in MILC. Specific details regarding certain modifications to MILC will be released soon. 

FSA will provide producers with information on program requirements, updates and signups as the information becomes available. Any additional details will be posted on FSA’s website. 

For more information about the programs and loans administered by FSA, visit any FSA county office or www.fsa.usda.gov.

Blue Grass Stockyards Cattle Report for 01/22/2013       Receipts:  835   Last Tuesday:  1,429   Year Ago:  874 Compared to Monday, steer calves sold steady with moderate demand.  Heifer calves under 600 lbs sold 1.00 higher with good demand, over 600 lbs 2.00 lower with light demand.  Yearling steers and heifers no comparison.  Slaughter cows sold steady with moderate demand.  Slaughter bulls sold steady with moderate demand.

 Total supply included 04% slaughter cows, less than 01% slaughter bulls, less than 01% replacements and 95% feeders.  Feeder supply 45% steers, 19% bulls, 36% heifers with 57% of feeders weighing over 600 lbs. 

Kentucky Equine Survey releases initial findings     LEXINGTON, Ky. (Jan. 22, 2013) – Kentucky is home to 242,400 horses and the total value of the state’s equine and equine-related assets is estimated at $23.4 billion, according to the 2012 Kentucky Equine Survey.  The comprehensive statewide survey of all breeds of horses, ponies, donkeys and mules was the first such study since 1977.   The survey’s results identified 35,000 equine operations and 1.1 million acres devoted to equine use. The results are a snapshot of the 2011 calendar year.

    Read the entire news release at: http://news.ca.uky.edu/article/kentucky-equine-survey-releases-initial-findings