Monday markets
The market opened up the week on a higher note, encouraged by support on both the technical and fundamental sides.
Live cattle futures were higher, up $1.05 to $239.55 on the April contract and up $1.42 to $240.20 on the June contract.
“It’s likely a combination of things that have jolted futures higher,” wrote Cassie Fish, market analyst, in The Beef. “For one, packers’ willingness to pay steady with last week’s cash, despite a boxed beef market that was struggling certainly is one factor. The South passed steady bids and ended up trading $3 higher late Friday afternoon. Expectations are widespread already that this week’s cash will trade higher.”
Cash trade for the day is estimated at 66 head. There were no market trends noted. On the formula side, a total of 20,500 head averaging 952 lbs. averaged $373.49.
Cash trade for the week ending March 29 totaled 56,817 head. Live steers averaged $236.14, and dressed steers averaged $371.82.
Slaughter for the day is estimated at 109,000 head, compared to 105,000 head a week earlier. Total slaughter for last week is projected at 520,000 head.
“The continued historically small slaughter, impacted by the JBS Greeley plant strike, is providing support for boxes,” Fish said. “The strike continues this week.”
Boxed beef prices were higher on 77 loads. The Choice cutout gained $1.13 to close at $394.10, and the Select cutout gained $1.14 to close at $391.01.
“Spring is in the air and there is great anticipation of improved seasonal beef demand kicking in post-Easter,” Fish said.
Feeder cattle
Feeder cattle futures were higher, up $1.85 on the April contract to $363.30 and up $1.50 on the May contract to $361.32.
“The feeder cattle complex experienced a notable rally throughout Monday’s trade, as traders once again felt that there was sufficient support in the market to push the contracts higher confidently,” wrote ShayLe Stewart, DTN livestock analyst, in her closing comments.
The CME Feeder Cattle Index lost 26 cents to close at $362.98.
Corn futures were lower, down 6 cents apiece on the May and July contracts, closing at $4.55 and $4.67, respectively.
Missouri: Joplin Regional Stockyards in Carthage sold 10,000 head on Monday. Feeder steers under 475 lbs. sold $10-35 lower, and steers over 475 lbs. sold $5-20 higher. Feeder heifers sold from $6 lower to $10 higher. Benchmark steers averaging 773 lbs. sold from $364-389, averaging $380.33.
Oklahoma: Oklahoma National Stockyards in Oklahoma City sold 8,000 head on Monday. Compared to a week earlier, feeder steers and heifers sold $4-8 higher. Steer and heifer calves sold mostly steady. Benchmark steers averaging 775 lbs. sold from $358-377, averaging $370.13.
South Dakota: Sioux Falls Regional in Worthing sold 4,000 head on Monday. Compared to a week earlier, feeder steers under 600 lbs. sold with higher undertones, and over 600 lbs. sold mostly steady, except 950-1,000 lbs., which sold $10 higher. Feeder heifers under 850 lbs. sold mostly steady, while over 850 lbs. sold $7-10 higher. — Anna Miller Fortozo, WLJ managing editor
