Friday markets
The market headed into the weekend on a higher note, even amid skyrocketing corn.
Live cattle futures found some momentum over the day and climbed higher. The October contract gained $1.30 to close at $145.67, and the December contract gained $1.32 to close at $150.97.
“The futures complex seems willing to run higher but with boxed beef prices showing some weakness and the cash cattle market not lending enough support, traders aren’t willing to take on resistance levels themselves,” wrote ShayLe Stewart, DTN livestock analyst, in her midday comments.
There was some cash trade to close out the week. A total of 10,073 head sold, with live steers averaging $143 and dressed steers averaging $227. About 78,000 head total sold throughout the week.
Slaughter through today is projected at 512,000 head. With tomorrow’s slaughter expected to reach 92,000 head, total slaughter for the week will be about 604,000 head.
Boxed beef prices were lower on 118 loads. The Choice cutout lost 75 cents to close at $257.26, and the Select cutout lost $1.31 to close at $234.73.
Feeder cattle
“It’s surprising to see the feeder cattle complex trending higher while the corn market pushes a modest rally, but with the live cattle complex trading higher too, it finds support from that and the fact that demand throughout the countryside has been strong late in the week,” Stewart said.
Feeder cattle futures also closed higher, with the September contract up 67 cents to $183 and the October contract up $1.17 to $185.57.
The CME Feeder Cattle Index gained 93 cents to close at $181.24.
Corn shot higher, closing just under $7. The September contract gained 24 cents to close at $6.98, and the December contract gained 16 cents to close at $6.85.
“Several trends were apparent in the marketplace this week,” wrote the Cattle Report. “Traditional spreads between high quality steers and heifers in the replacement market were narrowing and, in some instances, high quality heifers exceeded steer prices. Cow slaughter also continues in decline when compared to prior year.”
Nebraska: Ogallala Livestock in Ogallala sold 6,500 head on Thursday. There was no comparison to last week, but demand was good on a nice selection of calves and feeders. Benchmark steers averaging 737 lbs. sold from $177-197.50, averaging $185.80. — Anna Miller, WLJ managing editor
