Thursday markets
Cattle contracts closed mostly lower under heavy pressure today from jittery traders.
“CME cattle futures are under a lot of pressure today, fueled by nervousness over a multitude of factors,” Cassie Fish, market analyst, wrote in The Beef. “Monday’s big rally has been erased and then some as the market has dived below the 10-day moving average and in some cases, the 40-day moving average.”
Live cattle futures continued to close lower, with the October contract $2 lower to close at $232.05 and the December contract down $2.52 to $234.30.
Cash trade was active, with 24,379 head sold. Live steers sold for $231-237, and dressed steers sold for $365.
On the formula side, 36,000 head averaging 949 lbs. sold for an average of $381.62.
Today’s slaughter is estimated to be 115,000 head, 3,000 head above the prior week.
Actual slaughter for the week ending Sept. 13 was 573,378 head. The average steer dressed weight was 959 lbs., up 1 lb. from the previous week.
Boxed beef prices continued to fall on 158 loads, with the Choice cutout down $5.42 to $371.97 and the Select cutout down $2.97 to $353.45.
USDA’s Weekly Export report for the week ending Sept. 18 showed beef net sales of 8,400 metric tons (mt) down 47% from the previous week and 42% from the prior four-week average. Exports of 12,500 mt were down 5% from the previous week, but up 11% from the prior four-week average.
Feeder cattle
Feeder cattle futures closed mixed, with the September contract up 5 cents to $365.42 and the October contract $5.57 lower to close at $354.05.
The CME Feeder Cattle Index was up 21 cents to $361.31.
Corn futures closed slightly higher, with the December and March contracts were up a penny to $4.25 and $4.42, respectively.
Kansas: Winter Livestock in Dodge City sold 1,199 head on Wednesday. Compared to the previous auction, 8-weight steers sold $18 higher, and heifers over 600 lbs. sold steady to $6 higher. Steers under 600 lbs. sold $7-9 higher. Heifers under 600 lbs. sold $5 higher. Larger lots of vaccinated calves brought $20-30 higher. Benchmark steers averaging 764 lbs. sold for $361.
Nebraska: Bassett Livestock in Bassett sold 4,455 head on Wednesday. Compared to the previous auction, steers 800-900 lbs. traded steady to $9 higher and 1,000-1,050 lbs. traded steady to $6 higher. There were no comparable offerings for heifers, so a trend could not be established. Benchmark steers averaging 780 lbs. sold for $379.50-402, and averaged $389.97.
Oklahoma: OKC West in El Reno sold 4,738 head on Wednesday. Compared to the previous auction, feeder steers sold $10-15 higher. Feeder heifers traded $15-30 higher. Steer calves sold $5-15 higher. Heifer calves over 450 lbs. sold steady to $5 lower, and under 450 lbs. were $15-20 higher. Benchmark steers averaging 726 lbs. sold between $380-400, averaging $393.99. — Charles Wallace, WLJ contributing editor
