^j^ n Extension Service In Agriculture and Home Economics 



^ Iftiiverslty of Illinois College of Agricult\»re, Urbana 





WEEKLY REVIEW AND FAEM OUTLOOK LETTER 







By G. L. Jordan 

 Professor, Agricultural Economics ry,p 90 in>ic 

 (Prepared July 5) H+T ^^'^ ^ " '"^^ 



Wheat receipts are rather large at southwestern markets' but they -are being 

 used to fill prerious contracts and are not a serious price depressing factor. It 

 seems that mills have so many orders for flour that the demand for wheat holds up well 

 in the face of rather large receipts. The crop is late in the main winter wheat region, 

 but yields may be a little larger than were forecast a few weeks ago. 



The national wheat goal for I9U6 is from 6? to 70 million acres. The 19*^5 

 prospective acreage is 68.6 million. Requirements eLre expected to be heavy during the 

 months ahead particularly for relief feeding. The national goal for rye to be har- 

 vested for grain in 19^6 is 2.8 million acres compared with an indicated harvest of 2,2 

 million acres in 19*t-5. Fanners are asked to plant as much acreage to rye to be har- 

 vested to grain as is consistent with needs for other crops • The goals for wheat and 

 rye for individual states will be worked out by federal euid state etgencies. 



According to a press release the government is considering a new Bubsidy to 

 lamb producers to slow up the liquidation of lasibs. Details have not been worked out 

 but $1 per hundred pouxids has been suggested. The object is to assure producers a 

 good price for a substantial period so that they would not rush their flocks to market, 

 thereby depleting breeding stock. 



Receipts of livestock at 12 public markets in June showed the following per- 

 centage changes from June 19^! Cattle, -5; calves, -I8; hogs, -62; and sheep and 

 lambs, -9* 



The feed situation will be dominated by the outlook for the com crop. How- 

 ever, livestock-feed price ratios probably will continue favorable to livestock pro- 

 ducers for at least several months, according to the Bureau of Agricultural Economics. 

 Prices of feed grains are likely to be about eus high in the months of heavy marketlngfl 

 in 19^^ as in 19^^. If we have a reasonably late fall which will permit the com to 

 mature, the 19**'5-*^6 supply of feed grains will coo^are favorably with the relatively 

 large 19i|>l^-i^5 supply. 



Between May 15 and June 15 prices received by farmers for agricultural com- 

 modities Increased to a new high elnce^ 1920 and stood at 206 percent of the five-year 

 average, August 1909 to July 191^. The index of prices paid by farmers, including in- 

 terest 8u:id taxes, was unchanged at 173 percent of the base period. Consequently farm 

 prices averaged 119 percent of parity, a new record hl^ since June 19^3* 



The producer's celling prices for potatoes f .o.b. country shipping point for 

 the State of Illinois during the month of July 19^5 is $2.95 per hundred pounds. 



The United States Depeurtment of ConsBerce polled the presidents of the 12 

 federal land banks concerning farm land prices and Inflation. The 11 presidents that 

 responded said farm land prices are still on the rise. Seven Iz^lcated there have been 

 some recent signs of stabilization and four could see no such signs. Six of the presl- 

 .dents said there was likely to be a repetition of the serious farm land situation that 

 'followed the first world war. 



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



College of Agriculture and the United States Department of Agriculture cooperating. 



H. P. Rusk, Director. Acts approved by Congress May 8 and June 30, I91I*. 



