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33^./ Extension Service in Agriculture and Hcane EcGnaniice 

 ~TjiC^2i^ University of Illinois College of Agriculture, Urbana ^^^ 



,.- ^-^3 WESKLY REVIEW AND F/i?M OUTLOOK LETTER 



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By G. L. Jordan: r J'iwirn j' M 

 Professor, Agricultural Ecpncciicfl 4^^^- 



(Prepared July 6) 



Wheat prices declined during the past week largely as a result of optimism 

 concerning the new wheat crop and the feeling that nothing definite will be done in 

 the near future to carry out the provision of the price control bill that orders the 

 President to use all lawful means to obtain parity prices. A sharp recovery Wednes- 

 day resulted from government buying. 



During the last few days of June there was a sharp rise in the prices of non- 

 government-weight hogs at Chicago. That was followed by a high of $13.85 Monday, 

 July 3, the first time since April that hogs at Chicago sold above the suppor-* price. 

 It is the general consensus of opinion that hog prices will continue to improve. 



Por the month of June the outstanding development in the movement of live- 

 stock to market was the fact that calf receipts were 65 percent above June receipts 

 of 19^3 at 12 public markets. On the other hand, receipts of hogs at these maittete 

 in June wore only l^i- percent above June 19^5; and cattle receipts were up 2k percent. 

 In May receipts of feeder and stockor cattle at four markets wore ^h porcont below 

 May 19^5, but for June they wore down only 9 percent. 



The beef cattle situation premises disturbances of the same nature as oc- 

 curred with hogs. The goal for cattle slaughter is 36 J million head by the end of 

 19'+'+. During June cattle receipts were a little higher than a year ago, but the rate 

 of increase is not enough higher to reach 3^^ million head without considerablo ac- 

 celeration in marketings. The War Food Administration hopoe to prevent a piling-up 

 of beef cattle such as occorred with hogs. Professor Stico, in another section of 

 this report, makes some eugcostions to those having fat cattle. 



There has been a reduction in feeder cattle prices recently which has in- 

 duced more shipments to corn -belt feedlote. The demand has been limited, but some of 

 the larger feeders have started buying. It is generally bcliovcd that with the 

 spread widened between stockor and feeder cattlo and good fed stuff there will be a 

 rather heavy movement to the feedlots as soon as a good com crop is assured. 



The Office of Price Administration announced price ceilingfl on alfalfa hay. 

 For the area that includes Illinois, the ceiling price to the producer will be as 

 follows: May to October inclusive, $20.50; November, $21.00; December, $21.50; 

 January to April inclusive, $22.00. 



In looking ahead to the postwar period, the major effort of the government 

 will be to take such steps as will be necessary to prevent a collapse in employment, 

 payrolls and prices. It is expected that the federal debt will approximate $250 bil- 

 lion and that the annual federal budget will have to be approximately $20 billion. 

 Taxes on individual incomes probably will not be greatly reduced except for the 3 per- 

 cent victory tax, at least for a year or two after the end of the war. 



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Cooperative Extension Work in Agriculture and Home Economics: University of Illinois 



College of /\gri culture and tho United States Dopartment of Agriculture cooperating. 



H. P. Rusk, Director. Acts approved by Congress May 8 and June 30, 191^4-. 



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