Thursday markets
Cattle futures closed mostly lower due to a lack of cash trade for direction and the markets are short on fundamental support.
Live cattle futures closed mixed, with the February contract up 15 cents to $242.65 and the April contract 32 cents lower to $240.72.
“With boxed beef prices declining—as they seasonally do during this time—traders need to see additional fundamental support, which will likely come from the cash market when trade develops at some point this week,” ShayLe Stewart, DTN livestock analyst, wrote in her midday comments. “But in the lightning-fast world we live in, waiting until the very bitter end of the week to see what’s going to develop fundamentally for the market is a painful waiting lesson traders aren’t necessarily fond of.”
Cash trade was light, with just 142 head sold.
On the formula side, 25,000 head averaging 960 lbs. sold for an average of $386.51.
Today’s slaughter is estimated to be 115,000 head, 1,000 head above the previous week.
Actual slaughter for the week ending Jan. 31 was 526,319 head. The average steer dressed weight was 981 lbs., down 6 lbs. from the prior week.
Boxed beef prices were mixed on 101 loads, with the Choice cutout $1.08 lower to $364.84 and the Select cutout 45 cents higher to $363.03.
Feeder cattle
Feeder cattle futures closed lower, with the March contract down $1.72 to $365.72 and the April contract 97 cents lower to $363.62.
The CME Feeder Cattle Index was down 49 cents to $373.87.
Corn futures closed higher, with the March contract 3 cents higher to $4.31 and the May contract up 5 cents to $4.41.
Kansas: Winter Livestock in Dodge City sold 3,342 head on Wednesday. Compared to the last auction, steers and heifers over 625 lbs. sold $5 lower to $5 higher. There were not enough steer and heifer calves for a market test, but higher undertones were noted. Benchmark steers averaging 764 lbs. sold between $368-387.50, averaging $383.24.
Nebraska: Huss Livestock in Kearney sold 3,736 head on Wednesday. Compared to the last auction, steers and heifers under 600 lbs. sold steady to $20 higher and over 600 lbs. sold steady to $10 higher. Benchmark steers averaging 762 lbs. sold between $389-399.50, averaging $397.25.
North Dakota: Kist Livestock in Mandan sold 2,446 head on Wednesday. Compared to the last auction, feeder steers and heifers traded mixed, with 600-650 lbs. steers $21 higher; 650-700 lbs. $13 lower, and 700-800 lbs. $9-15 higher. Feeder heifers 500-550 lbs. were $26 higher, 550-600 lbs. were $6 lower and 600-650 lbs. were $9 higher. Benchmark steers averaging 714 lbs. sold between $390-415, averaging $409.28.
Oklahoma: OKC West in El Reno sold 10,927 head on Wednesday. Compared to the last auction, feeder steers sold steady to $2 higher. Steers with good condition, weighing 600-700 lbs. traded $10-12 higher. Feeder heifers sold $5-10 lower. Benchmark steers averaging 777 lbs. sold between $368.50-384, averaging $374.87.
Wyoming: Torrington Livestock in Torrington sold 3,290 head on Wednesday. Compared to the last auction, feeder steers traded $5-10 higher, and feeder heifers traded mostly steady. Benchmark steers averaging 720 lbs. sold between $405-420.50, averaging $414.67. — Charles Wallace, WLJ contributing editor
