Wednesday markets
Cash trade at mostly lower prices sent futures chiefly lower.
Live cattle futures closed in the red, with the December contract $3.72 lower to close at $216.30 and the February contract down $3.60 to $217.25.
“Without a steadfast stamp of approval from the market’s fundamentals, the live cattle contracts are back to trading lower,” ShayLe Stewart, DTN livestock analyst, wrote in her midday comments. “The market would anticipate that beef demand will begin a sharp fourth-quarter rally in the next week or two, as consumers secure their meat for the Christmas holiday. Still, with beef prices already high compared to years past, the market sits in an unknown position, unsure how much of a fourth-quarter rally is really going to play out.”
Cash trade was moderate, with 21,088 head sold. Live steers sold for $215-224, and dressed steers sold between $338-347
On the formula side, 23,600 head averaging 954 lbs. sold for an average of $365.85.
Today’s slaughter is estimated to be 120,000 head, 2,000 head below a week earlier.
Boxed beef prices were lower on 179 loads, with the Choice cutout 72 cents lower to $371.23 and the Select cutout down $1.40 to $353.55.
Feeder cattle
Feeder cattle futures closed mixed, with the November contract $1.07 higher to $341.85 and the January contract $4.60 lower to close at $321.45.
The CME Feeder Cattle Index was $2.43 lower to $339.46.
Corn futures closed sharply lower, with the December contract down 7 cents to $4.29 and the March contract 8 cents lower to $4.41.
Montana: Miles City Livestock in Miles City sold 1,994 head on Tuesday. Compared to the last auction, steers 450 lbs. and heavier sold mostly steady to $10 lower. Heifer calves under 550 lbs. sold steady to $5 lower, 550-599 lbs. heifers sold $10-15 lower, and over 600 lbs. were too lightly tested to develop an accurate market trend, but lower undertones were noted. A group of unweaned steers averaging 759 lbs. sold for $342.50.
Utah: Producers Livestock in Salina sold 1,313 head on Tuesday. Compared to the previous auction, feeder cattle sold unevenly steady, with 550-600 lbs. steers selling $9 higher. Benchmark steers averaging 714 lbs. sold for $310-328, averaging $316.18.
Wyoming: Winter Livestock in Riverton sold 1,604 head on Tuesday. Compared to the last auction, feeder steers calves sold mostly steady, with instances of $8-20 higher on reputation quality load lots. Feeder heifers sold mostly steady, with instances of $5-12 higher. Benchmark steers averaging 717 lbs. sold for $345-363.25 and averaged $357.94. — Charles Wallace, WLJ contributing editor
