Monday markets
Cattle markets are continuing their downward trend brought on by higher corn prices.
Live cattle contracts were about a half-dollar lower, with the April contract down 50 cents to $120.35 and the June contract down 57 cents to $118.60.
“Other than the downward attitude that filtrated its way through the live cattle complex, there wasn’t much else to note about Monday’s trade,” remarked ShayLe Stewart, DTN livestock analyst, in her midday comments.
“A lack of trader interest sent the contracts trading lower, and the cash cattle market is yet to be tested as it’s too early in the week for interest to have developed.”
Cash trade was virtually nonexistent today, with only 164 head sold. Cash trade for last week totaled 88,624 head, with live steers averaging $122.05 and dressed steers averaging $195.87. Although smaller in volume than the prior week, average prices were slightly higher.
A total of 35,500 head of formula cattle sold today, averaging 860 lbs. and $192.71.
Slaughter for the day is estimated at 119,000 head, up several thousand head from last week and 32,000 head higher than the same time last year. Last week’s slaughter is projected at 640,000 head. USDA released actual slaughter data for the first week of April, which totaled 603,494 head.
Boxed beef prices were slightly higher, with the Choice cutout up 12 cents to $276.17 and the Select cutout up 3 cents to $269.13 on 91 loads.
Feeder cattle
“The recent spike in corn prices has really come as a hinderance to the feeder cattle contracts. With cost of gains on everyone’s mind, it’s hard to stomach higher corn prices while fat cattle prices continue to dance around $120.00 live,” Stewart commented.
Feeders were down over $1: The April contract was down $1.90 to $137.72 and the May contract was down $1.25 to $142.47. CME reported its latest Feeder Cattle Index down $1.55 to $140.13. In comparison, the May corn contract was up 6 cents to $5.92.
“Feedlots have gotten creative in using other feeds to try to lessen some of their input costs, but when inputs are a lofty problem, operations must become meticulous about where every penny goes,” Stewart said.
Missouri: Joplin Regional Stockyards in Carthage sold 4,500 head Monday. Compared to the prior sale, feeder steers under 600 lbs. sold steady and steers over 600 lbs. sold steady to $3 lower. Feeder heifers under 500 lbs. sold steady while heifers over 500 lbs. sold $305 lower. Benchmark steers averaging 770 lbs. sold between $137-144.50.
Oklahoma: Oklahoma National Stockyards in Oklahoma City sold 8,500 head Monday. Compared to the week prior, feeder steers and heifers sold $4-8 lower. Steer and heifer calves sold $2-4 lower. Benchmark steers averaging 760 lbs. sold between $132-137. — Anna Miller, WLJ managing editor
