Thursday markets
Cattle futures closed with continued buyer support, with traders remaining optimistic but less aggressive heading into the end of the week.
“With markets closed Friday due to the Easter Holiday break, late-day pressure may continue to trickle into most contract months, with traders focusing more on position squaring before the three-day weekend, rather than additional market adjustments based on demand or outside market indicators,” DTN wrote in the livestock midday comments.
Live cattle futures continued their gains, with the April contract up $2.15 to $246.20 and the June contract $1.97 higher to $246.32.
Cash trade was moderate, with 14,723 head sold. Live steers sold for $240-245, and dressed steers sold between $380-385.
On the formula side, 24,900 head averaging 936 lbs. sold for an average of $376.53.
“Cash bids surfaced this morning generally $2 to $5/cwt higher on a live basis than last week and $8/cwt higher on a dressed basis,” Cassie Fish, market analyst, wrote in The Beef. “Cattle feeders are refusing these higher bids, set on selling as close to April LC futures as possible.
Today’s slaughter is estimated to be 105,000 head, 8,000 head above a week earlier.”
Actual slaughter for the week ending March 21 was 502,062 head. The average steer dressed weight was 984 lbs., down 5 lbs. from the prior week.
Boxed beef prices closed lower on 112 loads, with the Choice cutout down $4.84 to $389.58 and the Select cutout $4.89 lower to $387.70.
Feeder cattle
Feeder cattle futures also saw gains, with the April contract up $2.15 to $372.90 and the May contract $2.62 higher to $370.62.
The CME Feeder Cattle Index was 89 cents higher to $366.82.
Corn futures were lower, with the May contract down 2 cents to $4.52 and the July contract down a penny to $4.63.
Kansas: Winter Livestock in Dodge City sold 1,270 head on Wednesday. Compared to the last auction, feeder steers over 700 lbs. sold $5-20 higher, and heifers over 700 lbs. sold steady to $20 higher. There were not enough steer and heifer calves sales for a market test. Benchmark steers averaging 786 lbs. sold for $370-376.50 and averaged $374.96.
Nebraska: Bassett Livestock in Bassett sold 4,590 head on Wednesday. There was no recent market test for an accurate comparison; a trend will not be provided for steers and heifers. Benchmark steers averaging 782 lbs. sold between $386.50-400, averaging $393.93.
New Mexico: Clovis Livestock in Clovis sold 1,457 head on Wednesday. Compared to the previous auction, steer calves 450-550 lbs. sold lower, while 550-600 lbs. were $12 higher. Feeder steers 600-650 lbs. sold $15 higher, 650-950 lbs. were $8-15 lower, and 950-1,000 lbs. sold steady. Heifer calves 450-500 lbs. sold higher, while 500-550 lbs. were $3 lower. There were no comparable numbers of feeder heifers. A group of steers averaging 775 lbs. sold for $342.
Oklahoma: OKC West in El Reno sold 9,998 head on Wednesday. Compared to the last auction, feeder steers sold $3-8 higher. Feeder heifers traded $6-12 higher. Heifer calves sold $10-15 lower, as last week’s extremely aggressive market couldn’t be sustained this week. Benchmark steers averaging 769 lbs. sold for $365-385, averaging $377.77. — Charles Wallace, WLJ contributing editor
