Wednesday markets
Live cattle futures paused for consolidation today after early-week gains, as trader skepticism kept the livestock complex in a mixed market.
“Following the supportive trade that developed earlier this week, traders are again twiddling their fingers, seeming to have the mindset that again asks: now what?” ShayLe Stewart, DTN livestock analyst, wrote in her midday comments. “On one hand, traders would like to continue to support the complex and push prices higher, but at the same time, they don’t want to become overly aggressive and overextend the futures complex.”
Live cattle futures closed mixed, with the August contract down 27 cents to close at $235.55 and the October contract up 40 cents to $229.42.
Cash trade was moderate, with 5,837 head sold. Live steers sold for $240-245, and dressed steers sold for $385.
Today’s slaughter is estimated to be 116,000 head, the same as a week earlier.
Boxed beef prices were mixed on 104 loads, with the Choice cutout down 9 cents to $390.49 and the Select cutout $2.32 higher to $367.96.
“The market was pumped up early by the sharp advances in wholesale boxed beef values this week,” Cassie Fish, market analyst, wrote for The Beef. “End users are scrambling over limited fed cattle subprimals thanks to the smallest production levels in 10 years. Tight supplies of grinding material have sent chuck and round prices to new highs for 2025 this week. But the rib and loin have had a stout rally as well.”
Feeder cattle
Feeder cattle futures closed modestly higher, with the August contract gaining 50 cents to $345.87 and the September contract up 37 cents to close at $346.62.
The CME Feeder Cattle Index was up $1.65 to $342.69.
Corn futures regained some of yesterday’s sell-off, with the September and December contracts up 2 cents to $3.74 and $3.97, respectively.
Texas: Lonestar Stockyards in Wildorado sold 773 head on Tuesday. There were no comparable sales on steers or heifers due to last week’s light test, but a higher undertone was noted. Benchmark steers averaging 734 lbs. sold for $361.
Utah: Producers Livestock in Salina sold 599 head on Wednesday. Compared to the last auction, feeder steers sold $2-4 lower, with instances of $15 lower. Feeder heifers sold $2-6 lower, with instances of $15 lower. Benchmark steers averaging 761 lbs. sold for $300-335, averaging $321.22. — Charles Wallace, WLJ contributing editor
