Wednesday markets
Cash trade continued to trade steady today, and futures were able to recover some of yesterday’s losses.
Live cattle futures were higher. The April contract increased 90 cents to $137.70, and the June contract also gained 90 cents to close at $134.22.
“Unfortunately, the live cattle market’s uptick in prices comes after the cash cattle market’s trend has been set for the week,” wrote ShayLe Stewart, DTN livestock analyst, in her midday comments.
There was some cash trade today, with 8,233 head sold. Live steers sold from $137-140, and dressed steers sold from $219-225. By Wednesday morning, about 78,000 head had sold. On the formula side, a total of 11,600 head averaging 883 lbs. sold for an average of $221.21.
Slaughter for the day is estimated at 125,000 head, on pace with last Wednesday. To date this week, slaughter totals 371,000 head—about 2,000 head more than a week earlier.
Boxed beef prices were lower on 141 loads. The Choice cutout lost 49 cents to close at $271.04, and the Select cutout lost $1.85 to close at $261.05.
Feeder cattle
Feeder cattle futures also recovered some of yesterday’s losses. The April contract gained 97 cents to close at $157.10, and the May contract gained 95 cents to close at $159.95. The CME Feeder Cattle Index lost 22 cents to close at $155.54.
Corn futures were down slightly, with the May contract down 3 cents to $7.56 and the July contract down 1 cent to $7.47.
“Despite the countryside being dry and despite corn prices being extremely high, both feeder cattle and calves are drawing the attention of any willing buyers as the fundamental fact that supplies will be tight in the months to come remains undeniably true,” Stewart said.
Kansas: Winter Livestock in Dodge City sold 2,462 head on Wednesday. Compared to a week earlier, feeder steers under 700 lbs. sold on a light test with a weak undertone noted, while those over 700 lbs. sold $5-8 lower. Feeder heifers under 550 lbs. sold $6-8 lower, 550-650 lbs. sold $2-4 higher and over 650 lbs. sold $4-6 lower. — Anna Miller, WLJ managing editor
