Wednesday markets
A decline in the price of corn sent feeders higher, while the live cattle market failed to find any momentum higher.
Live cattle futures were lower. The December contract lost 55 cents to close at $151.40, and the February contract lost 35 cents to close at $154.90.
There was a handful of cash trade, with 9,256 head sold. Live steers sold from $149-155, and dressed steers sold from $242-243. Cash trade for the week is estimated at only about 12,000 head.
On the formula side, a total of 18,900 head averaging 874 lbs. averaged $239.64.
“With feedlots sitting in a cushy position with current showlists and extremely green front-end supplies, everyone in the cattle business knows that feedlots sit in the driver’s seat of today’s cash market,” wrote ShayLe Stewart, DTN livestock analyst, in her midday comments.
Slaughter for the day is expected at 129,000 head, on pace with a week ago. Total slaughter for the week so far is 385,000 head.
Boxed beef prices were higher on 152 loads. The Choice cutout gained 84 cents to close at $263.47, and the Select cutout gained 43 cents to close at $233.16.
Feeder cattle
“The shift between the corn complex and the feeder cattle market has been a positive one for cattlemen as the corn market’s $0.10 regression into Tuesday’s afternoon is finally allowing for the feeder cattle contracts to breathe with ease,” Stewart said.
Feeder cattle futures saw some gains amid corn losses. The November contract gained $2 to close at $178.92, and the January contract gained $1.80 to close at $180.
The CME Feeder Cattle Index gained 32 cents to close at $177.29.
Corn futures were lower, with the December contract down 10 cents to $6.87 and the March contract down 9 cents to $6.92.
Nebraska: Bassett Livestock Auction in Bassett sold 2,345 head on Wednesday. There were limited comparable offerings with a week earlier, with 550 lb. steers trading $4 higher. There were no comparable offerings for heifers. A group of unweaned steers averaging 710 lbs. sold for $193. — Anna Miller, WLJ managing editor
