Wednesday markets
Cattle futures closed mostly higher after trading on both sides of steady, holding gains from this week’s rally.
“Cash trade has been nonexistent as packers wait until late week to make any significant moves,” wrote Cassie Fish, market analyst, in The Beef. “The strong futures market has improved sellers’ attitudes though some overly fat cattle are still in need of a home. Boxed beef prices continue to trade in the low $360s this week, likely limited on some items by increased offerings due to the larger production schedule.”
Live cattle futures closed mixed, with the December contract down 22 cents to $218.97 and the February contract up 12 cents to $222.70.
Cash trade was nonexistent, with only 74 head sold for $210. On the formula side, 20,400 head averaging 954 lbs. sold for an average of $356.02.
Today’s slaughter is expected to be 107,000 head, 2,000 head below last week.
Boxed beef prices were lower on 95 loads, with the Choice cutout down $2.72 to $360.26 and the Select cutout $4.15 lower to $347.47.
Feeder cattle
Feeder cattle futures closed higher, with the November contract up $2.27 to $332.62 and the January contract $1.12 higher to $327.80.
The CME Feeder Cattle Index was down $2.43 to $330.42.
Corn futures closed lower, with the December and March contracts down a penny to $4.48 and $4.60, respectively.
Montana: Miles City Livestock in Miles City sold 2,726 head on Tuesday. Compared to the previous auction, steers under 450 lbs. were too lightly tested in either sale to develop any market trend. The best test for feeder steers was for steers 450-599 lbs., which sold mostly steady to $10 lower. All other steer weights were too lightly tested last week to develop an accurate market trend, but mostly lower undertones were noted. A group of unweaned benchmark steers averaging 711 lbs. sold for $354.
Utah: Producers Livestock in Salina sold 1,958 head on Tuesday. Compared to the previous auction, feeder cattle sold unevenly steady on calves and yearlings. Benchmark steers averaging 713 lbs. sold for $317.50-343, averaging $331.40.
Wyoming: Winter Livestock in Riverton sold 3,312 head on Tuesday. Compared to the last auction, feeder steers sold mostly steady to $1-3 higher, with instances of $7-15 lower. Heifer calves saw the biggest gains, with $15-17 higher; 550-590 lbs. were $30 higher. A group of steers averaging 670 lbs. sold for $358-375, averaging $369.38. — Charles Wallace, WLJ contributing editor
The charts below show the prices of alfalfa and grass hay during the week of Nov. 2.
