Wednesday markets
Cattle futures extended their rally into Wednesday, with live cattle futures closing triple digits higher.
Live cattle futures closed higher, with the June contract up $2.07 to $250.10 and the August contract $1.80 higher to $241.50.
Cash trade was light, with only 75 head sold at $402. On the formula side, 23,000 head averaging 943 lbs. sold for an average of $409.24.
“The cash cattle market is quiet at this point with no bids currently on the table,” ShayLe Stewart, DTN livestock analyst, wrote in her midday comments. “On Tuesday, some bids were offered in Nebraska at $403, but no cattle traded. Asking prices are noted in Texas at $258 to $260.”
Today’s slaughter is estimated to be 105,000 head, 1,000 head below last week.
Boxed beef prices were mixed on 107 loads, with the Choice cutout up 38 cents to $393.28 and the Select cutout $1.23 lower to $375.70.
Feeder cattle
Feeder cattle closed modestly higher, with the August contract up 22 cents to $354.37 and the September contract 67 cents higher to $351.37.
“Unlike the live cattle contracts, the feeder cattle contracts are further away from their resistance, which means the market should be able to trade higher with ease if traders continue to believe that’s the way the market should go,” Stewart wrote.
The CME Feeder Cattle Index was $1.19 higher to $368.20.
Corn futures closed on both sides of steady, with the July contract down a fraction to $4.19 and the September contract up a fraction to $4.27.
Nebraska: North Platte Stockyards Livestock in North Platte sold 525 head on Tuesday. Due to a lack of recent sales, a trend could not be established, but demand was moderate. A group of steers 842 lbs. sold for $350-354.50, averaging $353.70.
Utah: Producers Livestock in Salina sold 475 head on Tuesday. Compared to the last auction, feeder cattle sold sharply lower on calves and yearlings. Benchmark steers averaging 760 lbs. sold for $330-351, averaging $344.77. — Charles Wallace, WLJ contributing editor
