Thursday markets
“Live cattle futures are trading mildly lower into Thursday afternoon,” commented ShayLe Stewart, DTN livestock analyst, in her Thursday midday comments. “The support that rallied the market Wednesday afternoon hasn’t disappeared, as bids are developing throughout the countryside slightly higher than Wednesday’s trade and feedlots still feel empowered to push the week’s trade out to fully achieve the higher marks.”
Live cattle contracts ended the week slightly down from the prior week. The April live cattle contract closed Thursday at $118.57 and the June contract at $119.65.
Cash cattle continue to trade around the $113-116 mark, although most trade stays around $114. Dressed steers traded in the $179-182 range.
The Choice cutout was about $4 higher to $228.61 and the Select cutout was about $2 short of the week prior at $218.11.
Thursday’s number was projected at only 111,000 head, and the week’s total as of Thursday was estimated at 453,000 head. The same time the week prior recorded 481,000 head.
Feeder cattle
The March contract closed at $135.52 and the April contract at $141.42. The CME Feeder Cattle Index was up slightly from the prior Thursday at $134.28. Corn continues to trade sideways and the May contract closed at $5.46.
“As we’ve mentioned time and time again, high input costs and lofty daily cost of gain has really hindered feedlots’ ability to be aggressive in the cattle market,” Stewart said. “If the corn market is going to continue to trade sideways, there’s hope that cash cattle prices will creep higher and feedlots will see greater profitability.”
Kansas: Winter Livestock in Dodge City sold 892 head Wednesday. Compared to the week prior, feeder steers 400-800 lbs. sold steady; eight-weight steers sold steady to $2 higher. Heifer calves 300-600 lbs. sold steady; feeder heifers 600-900 lbs. sold steady to $2 lower. Benchmark steers averaging 773 lbs. sold for $142. — Anna Miller, WLJ managing editor
