Thursday markets
Despite some higher cash trade, cattle futures closed lower amid a sell-off.
“CME cattle futures began to sell off shortly after the opening, and before anyone could get out of their chair, futures had made a new low for the week and June LC was down 655 points on the day,” wrote Cassie Fish, market analyst, for The Beef. “Since then, the market has recovered a big chunk of that loss, and so far, the market has posted an inside week in June and August LC. Fund stops were hit by a torrent of selling.”
Live cattle futures lost triple digits, with the June contract down $3.42 to $250.05 and the August contract $3 lower to $245.90.
Cash trade was active, with 47,740 head sold. Live steers sold for $255-260, and dressed steers sold between $400-405.
USDA reported fed cattle trade was mostly higher this week, with Texas Panhandle and Kansas live sales up $1 at $256, Nebraska live sales $3–$6 higher at $256–$260 and dressed sales $2 higher at $402–$405, while the Western Corn Belt saw live trade steady to $6 higher at $255–$260 and dressed trade steady to $3 higher at $400–$403.
On the formula side, 21,900 head averaging 944 lbs. sold for an average of $402.78.
Today’s slaughter is estimated to be 109,000 head, 1,000 head below last week.
Boxed beef prices were lower on 107 loads, with the Choice cutout down $2.68 to $386.94 and the Select cutout $5.21 lower to $384.42.
Feeder cattle
Feeder cattle closed over $6 lower, with the May contract down $6.07 to $366.52 and the August contract down $6.87 to $366.45.
The CME Feeder Cattle Index was down 19 cents to $375.19.
Corn futures were mixed, with the May contract unchanged at $4.52 and the July contract down a penny to $4.67.
Kansas: Winter Livestock in Dodge City sold 1,485 head on Wednesday. Compared to the last auction, steers over 750 lbs. sold steady to $10 higher and 550-750 lbs. sold steady to $15 higher. Heifers 550-650 lbs. sold $10 lower to $10 higher. There were not enough heifers over 650 lbs. for a market test. Benchmark steers averaging 773 lbs. sold for $380-384.50, averaging $382.46.
Nebraska: Bassett Livestock in Bassett sold 1,547 head on Wednesday. Compared to the last auction two weeks ago, most steer weights sold $4-9 higher, with flat 6- and 9-weight steers $14 higher. Heifers less than 650 lbs. sold $4-8 higher, and 7 weights sold $1 higher. Benchmark steers averaging 761 lbs. sold for $385-391, averaging $386.97.
Oklahoma: OKC West in El Reno sold 11,061 head on Wednesday. Compared to the last auction, feeder steers over 850 lbs. unevenly steady, and under 850 lbs. sold $3-8 lower. Feeder heifers over 750 lbs. sold steady to $5 lower, and under 750 lbs. were $8-12 lower. Benchmark steers averaging 785 lbs. sold for $377-390, averaging $380.
South Dakota: Hub City Livestock in Aberdeen sold 3,980 head on Wednesday. Compared to the last auction, steers 850-899 lbs., with instances up to $15 higher on 850-899 lbs., 900-949 lbs mostly steady, 950-999 lbs. sold $6-10 higher, and 1,000-1,049 lbs. sold $3-5 lower. Heifers were not well compared. Benchmark steers averaging 719 lbs. sold for $424-436, averaging $427.81. — Charles Wallace, WLJ contributing editor
