Friday markets
The cattle complex did not feel the love of Cupid’s arrow as it continued to slide due to weaker cash trade.
Live cattle futures were triple digits lower, with the February contract down $1.80 to $197.75 and the April contract down $2.27 to $194.25.
“Trader’s slight energy they possessed on Thursday has stalled, and there’s been virtually no more business in the cash cattle market either,” ShayLe Stewart, DTN livestock analyst, wrote in her midday comments. “More than anything, after a week of continued pressure, the market seems to be looking forward to the long weekend.”
Cash trade was moderate, with 18,335 head sold. Live steers sold for $203, and dressed steers sold for $320-321.
On the formula side, 23,800 head averaging 931 lbs. sold for an average of $326.99.
“So far this week, Southern live trade has been marked at $202 to $203, $3 to $4 lower than last week’s weighted averages,” Stewart continued. “Northern dressed deals have been mostly $320 to $322, $5 to $7 lower than last week’s weighted average, basis Nebraska. Some more trade needs to develop in the Northern plains, as this week’s movement has been very thin.”
Today’s slaughter is estimated to be 103,000 head, 3,000 head above a week earlier. Saturday’s slaughter is projected to be 4,000 head, bringing the estimated weekly total to 561,000 head—far less than the 584,000 head for the prior week.
Boxed beef prices continued their seasonal slide, with the Choice and Select cutouts losing $2.70 to $314.70 and $307.14, respectively.
Feeder cattle
Feeder cattle also closed lower, with the March contract down $1.62 to $266.30 and the April contract down $1.55 to $266.42.
The CME Feeder Cattle Index was $1.31 lower, closing at $274.42.
Corn futures were higher, with the March and May contracts up 2 cents to $4.96 and $5.08, respectively.
Montana: Billings Livestock Commission in Billings sold 1,717 head on Thursday. Compared to the previous auction, feeder steer calves under 650 lbs. were too lightly tested to develop an accurate market trend, but steady undertones were noticed. Steers over 650 lbs. sold mostly $5 higher. Feeder heifers sold mostly $10-20 higher on a much more attractive offering. Benchmark steers averaging 760 lbs. sold for $275-285, averaging $280.65.
Texas: Cattlemen’s Livestock in Dalhart sold 1,279 head on Thursday. Compared to the last auction, Calves and feeder steers sold $5-10 higher on all classes. Heifers didn’t perform as well, falling $4-8 in all classes. Benchmark steers averaging 794 lbs. sold for $263.50-272.50, averaging $270.63. — Charles Wallace, WLJ contributing editor
