Monday markets
Compared to last week, the first day of November was off to a slow start for the week. While cash trade topped 100,000 head last week, it was nonexistent today. Futures were also lower, and slaughter was a bit behind last Monday.
Only 145 cash cattle traded today—not enough for a market trend. On the formula side, a total of 38,000 head averaging 877 lbs. sold for an average of $198.39.
Cash cattle trade had an excellent week last week, with over 100,000 head sold. Live steers sold about $2 higher, averaging $126.33. Dressed steers were about $4 higher, averaging $199.89.
Live cattle futures were lower. The December contract lost 42 cents to close at $128.85, and the February contract lost 32 cents to close at $133.90.
However, ShayLe Stewart, DTN livestock analyst, remarked: “Before the week is all said and done, it’s likely that the cash cattle market achieves higher prices again this week and that the futures market comes around once follow-through support is seen in the cash market.”
Slaughter for the day is expected to reach 121,000 head, about a thousand head behind the same time last week. Last week’s slaughter is projected to be 668,000 head—finally closer to a number the industry is happy with.
Boxed beef prices were higher on 82 loads. The Choice cutout increased $1.86 to $287.58, and the Select cutout increased $1.02 to close at $264.39.
Feeder cattle
Feeder cattle futures took a hit today. The November contract lost $2.17 to close at $154.40, and the January contract lost $3.40 to close at $152.72. The CME Feeder Cattle Index was up 68 cents to $156.56.
Corn futures continue to trend higher, with each contract gaining 10 cents today. The December contract closed at $5.79, and the March contract closed at $5.87.
“If corn prices continue to scale higher than the market’s technical upside, potential is limited,” Stewart said. “Meanwhile, throughout the countryside, various groups of cattle are still ringing the bell. Lightweight calves that haven’t been long-weaned aren’t demanding much attention throughout the western states, as they are easy to come by, but replacement quality heifers and yearlings are still demanding attention when they come across the scales.”
Missouri: Joplin Regional Stockyards in Carthage sold 7,000 head Monday. Feeder steers and heifers sold steady. Benchmark steers averaging 767 lbs. sold for $156.
Oklahoma: Oklahoma National Stockyards in Oklahoma City sold 8,000 head Monday. Compared to a week earlier, feeder steers and heifers sold unevenly steady. Steer calves sold $2-4 lower, and heifer calves sold $3-5 higher. Benchmark steers averaging 778 lbs. sold between $145-159.
South Dakota: Sioux Falls Regional Cattle Auction in Worthing sold 1,576 head Monday. Compared to the last sale, feeder steers sold unevenly steady, except 750-800 lbs., which sold $11-13 higher; 1,050-1,100 lbs. sold $2-4 higher. Feeder heifers sold unevenly steady. Benchmark steers averaging 770 lbs. sold between $163-165.50, averaging $165.07. — Anna Miller, WLJ managing editor
