Monday markets
Friday’s full futures limit down triggered expanded limits for both live and feeder cattle futures today. Feeder cattle futures hit the expanded limit down, while live cattle futures fell past their regular limit on deferred contracts.
Live cattle futures closed lower, down $4.92 to $228.82 on the October contract, down $6.75 to $227.17 on the December contract and down $9.42 to $224 on the February contract.
“Upon searching for a reason as to ‘why’ the market was suffering so severely this morning, unfortunately there’s no new tangible reason why the market is enduring such catastrophic losses,” wrote ShayLe Stewart, DTN livestock analyst, in her midday comments.
“Instead, the market continues to be pressured by the chaos that’s been endured over the last two weeks between President Trump stating that he’d like to see beef prices lowered, talk about increased imports from Argentina and the technical pandemonium that’s ensued ever since,” Stewart said.
Cash trade for the day was about 14,000 head. Live steers sold from $228-230, and dressed steers sold from $355-360.
Cash trade for the week ending Oct. 26 totaled 76,830 head. Live steers averaged $237.48, and dressed steers averaged $368.79.
Slaughter for the day is estimated at 105,000 head, compared to 92,000 head a week earlier. Total slaughter for last week is estimated at 573,000 head, compared to 567,000 head a week earlier.
Boxed beef prices were higher on 117 loads. The Choice cutout gained $2.12 to close at $377.88, and the Select cutout gained $3.69 to close at $361.66.
Feeder cattle
Feeder cattle futures nosedived. The October contract lost $8.80 to $345.50, the November contract lost $13.75 to $338.45 and the January contract lost $13.75 to $334.42.
“Unfortunately, the spot November feeder cattle contract is nearly hitting its 100-day moving average, which could trigger even more technical pressure,” Stewart said.
The CME Feeder Cattle Index lost $3.54 to close at $367.08.
Corn futures traded modestly higher, up 5 cents on the December contract to $4.28 and up 7 cents to $4.44 on the March contract.
Missouri: Joplin Regional Stockyards in Carthage sold 6,301 head on Monday. Compared to a week earlier, feeder steers sold $25-40 lower and feeder heifers sold $20-20 lower. Benchmark steers averaging 832 lbs. sold from $332-347, averaging $339.45.
Oklahoma: Oklahoma National Stockyards in Oklahoma City sold 3,800 head on Monday. Feeder steers and heifers sold $30-40 lower, and steer and heifer calves sold mostly $40-50 lower. Benchmark steers averaging 733 lbs. sold from $320-354, averaging $331.19.
South Dakota: Sioux Falls Regional in Worthing sold 1,709 head on Monday. Compared to a week earlier, offerings were not well compared but there were sharply lower undertones. Yearling feeder steers and heifers were $25-30 lower. A small group of benchmark steers averaging 736 lbs. sold for $322.50. — Anna Miller Fortozo, WLJ managing editor
