Friday markets
Cattle markets were in the red today.
Live cattle futures were down about $1 on all contracts. The October contract lost 80 cents to $122.80, and the December contract lost $1.05 to close at $127.52.
“Traditionally, prices bottom out in the week or two following Labor Day, with moderate to strong strength building through the end of the year,” remarked Rick Kment, DTN contributing analyst, in his midday comments.
“Moves in cattle trade appear to be on track with previous market trends, but outside market uncertainty and concerns of a cooling economy and increased COVID could weaken trader optimism in the near future.”
A small amount of cash trade took place, with 1,862 head sold. Live steers sold between $123-124.50, and dressed steers sold between $196-200. On the formula side, a total of 28,100 head averaging 870 lbs. averaged $200.67.
Slaughter for the day is projected to be 118,000 head. Tomorrow’s slaughter is estimated at 67,000 head, bringing the week’s total to 660,000 head.
Boxed beef prices were lower. The Choice cutout lost $3.53 to close at $314.47, and the Select cutout lost 52 cents to close at $279.75.
Feeder cattle
Feeders were also in the red today. The September contract lost $1 to close at $154.87, and the October contract lost 72 cents to close at $156.37. The CME Feeder Cattle Index gained 58 cents to close at $154.60.
Corn futures were also slightly lower today, with the December contract down 2 cents to $5.27 and the March contract down 2 cents to $5.34.
“Disappointment in fed cattle cash prices and slaughter numbers has impacted stocker and feeder prices at a time of year when runs are heavy and marketings plentiful,” wrote The Cattle Report. “Feeder futures have pulled dollars off the price levels and this week is expected to find the cash markets for replacement cattle weak.”
Nebraska: Valentine Livestock Auction in Valentine sold 4,570 head Thursday. Compared to two weeks ago, steers sold steady to $2 lower. Lightweight yearling heifers sold steady, and over 750 lbs. sold $3-7 lower. Despite the lower market, bidding was active. Benchmark steers averaging 729 lbs. sold between $160.50-164.50. — Anna Miller, WLJ managing editor
