Thursday markets
Despite trading mixed throughout the day, cattle futures rallied before the close.
Live cattle futures closed higher, with the April contract up 80 cents to $249 and the June contract 12 cents higher to $245.92.
“April LC continues to be somewhat untouchable,” wrote Cassie Fish, market analyst, in The Beef. “April LC expires in three weeks and has already scored the highest price of any live cattle futures contract ever this week, $249.75.”
Cash trade was moderate, with 1,205 head sold for $245.
On the formula side, 24,600 head averaging 945 lbs. sold for an average of $389.18.
“The USDA has reported cash fed cattle prices as high as $249.50 in a broad range,” Fish continued. “Expectations are that this week’s average price will beat last week’s $245 by a buck or likely two. Packers have been pretty quiet so far, perhaps hoping the collapsing boxed beef prices might help their cause at keeping prices closer to steady.”
Today’s slaughter is estimated to be 105,000 head, the same as a week earlier.
Actual slaughter for the week ending March 28 was 524,392 head. The average steer dressed weight was 983 lbs., down 1 lb. from the prior week.
Boxed beef prices were mixed on 145 loads, with the Choice cutout $1.43 higher to $381.09 and the Select cutout 70 cents lower to $381.57.
Feeder cattle
Feeder cattle futures also closed higher, with the April contract up $1.77 to $370.67 and the May contract $1.37 higher to $368.
The CME Feeder Cattle Index was 45 cents lower to $364.10.
Corn futures closed lower, with the May and July contracts down 3 cents to $4.44 and $4.55, respectively.
Kansas: Winter Livestock in Dodge City sold 2,175 head on Wednesday. Compared to the previous auction, steers 600-650 lbs. sold $20 higher. Steers and heifers 700-800 lbs. sold $5-15 higher. Steer and heifer calves were too lightly tested for a trend. Benchmark steers averaging 740 lbs. sold between $387-406 and averaged $392.75.
Nebraska: Huss Livestock in Kearney sold 2,384 head on Wednesday. Compared to the last auction, steers and heifers under 600 lbs. sold $20-30 higher and steers and heifers over 600 lbs. sold steady to $10 higher. Benchmark steers averaging 714 lbs. sold for $408-427.50, averaging $420.08.
Oklahoma: OKC West Livestock in El Reno sold 7,880 head on Wednesday. Compared to the previous auction, feeder steers over 850 lbs. sold $6-12 higher, and under 850 lbs. steady to $5 higher. Feeder heifers traded steady to $5 higher. Steer calves over 500 lbs. sold steady to $5 higher, and under 500 lbs. were $25-30 higher, conservatively. Heifer calves sold $15-20 higher. Benchmark steers averaging 789 lbs. sold between $373-393 and averaged $376.94. — Charles Wallace, WLJ contributing editor
