The cattle markets were able to find some momentum over the week, with futures climbing higher and cash trade finding more support. Slaughter levels were high in the first part of the week, likely to make up for limited numbers over the weekend due to the Easter holiday.
Live cattle futures closed higher over the week prior. The April contract gained $2.70 to close at $140.67, and the June contract gained about $2.40 to close at $136.42.
Cash trade through Thursday morning totaled about 94,000 head. Bids were a couple dollars higher than a week earlier, with live steers selling between $139-145, averaging closer to $142. Dressed steers sold between $224-231, averaging about $226.50.
“Cattle owners are asking the same question of the many past failures of the cash market to sustain longer term rallies: Can it hold and continue to improve?” asked the Cattle Report.
Cash trade through April 10 totaled 96,640 head, with live steers averaging $138.95 and dressed steers averaging $222.82.
The national weekly direct beef type price distribution for the week of April 4-11 was the following on a live basis:
• Negotiated purchases: $138.89.
• Formula net purchases: $141.14.
• Forward contract net purchases: $145.14.
• Negotiated grid net purchases: $140.38.
On a dressed basis:
• Negotiated purchases: $222.71.
• Formula net purchases: $222.98.
• Forward contract net purchases: $223.86.
• Negotiated grid net purchases: $223.58.
Slaughter through Thursday totaled about 498,000 head, a few thousand head more than the same time a week earlier. Total slaughter for the week prior is estimated at an impressive 676,000 head. Actual slaughter for the first week of April totaled 638,856 head.
“As for slaughter levels, last week’s big harvest is expected to be followed by a smaller one this week, with Good Friday and Easter Sunday keeping many plants dark this Saturday, dampening weekly throughput,” wrote Cassie Fish, market analyst, in The Beef.
Boxed beef prices traded mostly sideways over the week. The Choice cutout gained 86 cents to close at $271.86, and the Select cutout lost about $1.50 to close at $259.71.
Feeder cattle
Feeder cattle futures closed the week on a higher note. The April contract gained $1.80 to close at $158.20, and the May contract gained $2.30 to close at $161.77.
The CME Feeder Cattle Index gained about 35 cents to close at $155.95.
Corn futures continue to creep closer to $8. The May contract gained 33 cents to close at $7.90, and the July contract also gained 33 cents to close at $7.83.
“Sale barns will likely see better interest next week as the market will be past the Easter holiday and the weather will hopefully be friendlier to livestock,” wrote ShayLe Stewart, DTN livestock analyst, in her midday comments.
Kansas: Winter Livestock in Dodge City sold 1,905 head Wednesday. Compared to the last auction, yearling steers and heifers 600-800 lbs. sold $4-6 higher. Feeder steers and heifers 800-950 lbs. sold steady to $2 higher. There was no recent comparison on steer and heifer calves 400-600 lbs. However, a lower trend was noted. Benchmark steers averaging 778 lbs. sold between $149-156 and averaged $153.73.
Missouri: Joplin Regional Stockyards in Carthage sold 6,000 head Monday. Compared to a week earlier, at the mid-session, feeder steers under 575 lbs. traded $9-15 lower, with heavier weights trading $3-5 lower. Feeder heifers traded $4-9 lower. Benchmark steers averaging 727 lbs. sold between $160-164 and averaged $161.25.
New Mexico: Clovis Livestock in Clovis sold 1,625 head Wednesday. Compared to the previous auction, feeder steers and heifers sold $4-5 higher. Trade activity and demand were moderate to good. Benchmark steers averaging 740 lbs. sold between $158.50-163.50, averaging $159.50.
Oklahoma: Oklahoma National Stockyards in Oklahoma City sold 7,700 head Monday. Compared to a week earlier, feeder steers and heifers sold $2-4 lower. Steer calves sold $2-5 lower, and heifer calves sold $4-6 lower. Benchmark steers averaging 776 lbs. sold between $150-157 and averaged $156.09.
South Dakota: Sioux Falls Regional Livestock in Worthing sold 3,935 head Monday. Compared to the last auction, feeder steers sold $2-5 higher, with instances of $9 higher on 850-900 lbs. Feeder heifers traded steady to $5 lower, with instances of $8 lower on 600-650 lbs. and $4-6 higher on 750-800 lbs.
Wyoming: Torrington Livestock in Torrington sold 3,372 head Wednesday. Compared to the previous auction, steer calves under 800 lbs. traded mostly steady. Steer calves 800-900 lbs. traded $3-4 higher. Heifer calves traded steady to $4 higher. Benchmark steers averaging 776 lbs. sold between $163-167, averaging $164.14. — Anna Miller, WLJ managing editor
