Wednesday markets
The cattle market headed mostly lower on the board, and cash trade continues to trade steady to lower.
“Coming in like a breath of fresh spring air, Wednesday’s WASDE report helped the market realize fundamentals are still critical market components and war isn’t the only thing the complex should trade off,” remarked ShayLe Stewart, DTN livestock analyst, in her midday comments. Live cattle futures were down, with the April contract down $1.47 to $137.75 and the June contract down $1.50 to $133.95.
“Wednesday’s WASDE report shared higher quarterly price projections for both beef and hogs, which is especially helpful to feedlots’ morale as packers would like them to think there’s no chance prices could get stronger.”
There was some steady cash trade today, with 26,951 head sold. Live steers sold between $138-140, and dressed steers sold between $220-222. On the formula side, a total of 19,100 head averaging 894 lbs. sold for an average of $228.35.
Slaughter for the day is projected at 125,000 head, bringing the week’s total so far to 375,000 head.
Boxed beef prices were mixed, with the Choice cutout up 26 cents to $252.70 and the Select cutout down 15 cents to $244.79.
Feeder cattle
Feeder cattle futures were mixed. The March contract gained 2 cents to close at $154.05, and the April contract lost 17 cents to close at $160.15. The CME Feeder Cattle Index lost 22 cents to close at $153.89.
Corn futures sank lower, with the March contract down 19 cents to $7.35 and the May contract down 20 cents to $7.33.
“The fundamental side of the market hasn’t been very supportive this week for feeders either as both feeder cattle and calves sell cheaper this week in sale barns,” Stewart said. “Buyers look at the market’s hesitant tone and can’t justify signing up for too much more risk when inflation is pinching them from every angle and interest rates are expected to rise.”
Colorado: Winter Livestock in La Junta sold 4,531 head on Tuesday. Compared to a week earlier, steers under 750 lbs. sold $8-10 higher, with instances of $15 higher; over 750 lbs. sold $3-5 higher. Heifers under 700 lbs. sold steady to $2 higher, except 500-600 lbs., which sold $5-8 higher. Heifers over 700 lbs. sold $2 lower. — Anna Miller, WLJ managing editor
