Tuesday markets
Cattle futures closed higher Tuesday, with feeder cattle leading the advance as live cattle pushed decisively above the 100-day moving average.
Live cattle futures climbed higher, with the February contract up 75 cents to $236.62 and the April contract 57 cents higher to $237.37.
“The live cattle complex continues to charge onward as traders remain enthusiastic about what’s to come in 2026,” ShayLe Stewart, DTN livestock analyst, wrote in her midday comments. “After breaking through the market’s resistance at its 100-day moving average, we have accomplished a big technical feat, and so far this week, contracts charge on with gusto.”
Cash trade was nonexistent, with 23 head sold.
On the formula side, 27,700 head averaging 951 lbs. sold for an average of $363.10.
“It’s been too early in the week for any cash cattle trade to have developed, and at this point bids and asking prices remain elusive,” Stewart said.
The national weekly direct beef type price distribution for the week of Dec. 29 to Jan. 5 was the following on a live basis:
• Negotiated purchases: $231.78.
• Formula net purchases: $232.67.
• Forward contract net purchases: $224.45.
• Negotiated grid net purchases: $236.44.
On a dressed basis:
• Negotiated purchases: $360.38.
• Formula net purchases: $363.88.
• Forward contract net purchases: $343.99.
• Negotiated grid net purchases: $356.68.
Today’s slaughter is estimated to be 118,000 head, 4,000 head below the prior week.
Boxed beef prices were lower on 166 loads, with the Choice cutout $2.45 lower to $351.25 and the Select cutout down 42 cents to $351.08. The Choice/Select spread is 17 cents.
Feeder cattle
Feeder cattle futures closed triple digits higher, with the January contract up $3.20 to $362.17 and the March contract $3.45 higher to close at $359.02.
“Currently, the market and many of its participants seem convinced the imminent closure of the Tyson Lexington, Nebraska, facility and B shift at the Amarillo facility will not negatively impact the fed cattle market or lessen cattle feeder leverage,” wrote Cassie Fish, market analyst for The Beef.
The CME Feeder Cattle Index was up $9.06 to $362.17.
Corn futures closed slightly lower, with the March and May contracts down a fraction to $4.44 and $4.51, respectively.
Iowa: Russell Livestock in Russell sold 4,117 head on Monday. An accurate trend could not be provided due to a lack of recent sales. Benchmark steers averaging 718 lbs. sold for $377.50-409, averaging $399.41.
New Mexico: Roswell Livestock in Roswell sold 1,208 head on Tuesday. Compared to the last auction two weeks ago, Steer calves 350-450 lbs. sold steady to $20 higher, and 450-600 lbs. were $10-20 higher. Feeder steers 600-650 lbs. and 700-750 lbs. sold steady, and 650-700 lbs. sold $20 higher. Heifer calves 350-400 lbs. sold $12 higher, 400-500 lbs. were $2-10 lower, and 500-550 lbs. sold $15-22 higher. Heifer yearlings 600-650 lbs. sold $12-15 lower. Benchmark steers averaging 730 lbs. sold for $370-382 and averaged $376.39.
South Dakota: Sioux Falls Regional in Worthing sold 6,215 head on Monday. Compared to the previous auction two weeks ago, steer calves under 800 lbs. were steady to firm, and 800 lbs. and heavier were $5-20 higher. Heifer calves under 700 lbs. sold steady, with instances of $10-15 higher on 600-650 lbs., and over 700 lbs. were $5-20 higher. Yearling feeder steers were steady to firm, and yearling feeder heifers sold $2 higher. Benchmark steers averaging 775 lbs. sold for $352.50-386, and averaged $373.56. — Charles Wallace, WLJ contributing editor
