The cattle markets saw declines over the week on the board and with cash trade. Market sentiment remained bearish ahead of the latest Cattle on Feed (COF) report’s release.
Live cattle futures were lower over the week. The August contract lost $1.35 to close at $182.70, and the September contract lost about $4 to close at $176.82.
“The 2024 ‘bull’ market was reserved for June LC only, as it managed to reach all-time highs for any spot live cattle futures contract in history, $195.65,” wrote Cassie Fish, market analyst, in The Beef on Thursday. “Looking at a spot continuation chart, that June LC high is perched a mile above all other spot highs, looking like an outlier—or a major top, depending on the interpretation.”
Cash trade through Thursday totaled about 47,000 head. Live steers sold from $182-190, averaging $184.51. Dressed steers sold from $288-295, averaging $293.
“A few more clean-up sales here and there are likely, but all in all it’s looking like the bulk of the week’s trade could be done,” ShayLe Stewart, DTN livestock analyst, wrote on Thursday.
Cash trade through Aug. 11 totaled 76,196 head. Live steers averaged $191.59, and dressed steers averaged $304.23.
Slaughter through Thursday was estimated at 484,000 head, about 8,000 head more than a week earlier. Projected slaughter for the week prior is 602,000 head. Actual slaughter for the week ending Aug. 10 was 587,582 head. The average steer dressed weight was 925 lbs., 2 lbs. above the prior week.
Boxed beef prices sold mostly steady. The Choice cutout lost 95 cents to close at $315.99, and the Select cutout remained unchanged at $302.03.
Analysts released the pre-report estimates for Friday’s release of the July Cattle on Feed report. Cattle on feed for July is expected to be 100% of last year. Placements are estimated to be 4% higher, and marketings are predicted at 108.2%.
Feeder cattle
Feeder cattle futures lost several dollars. The August contract was down $4.75 to $241.97, and the September contract was down about $5.45 to $238.20.
The CME Feeder Cattle Index lost about $4 to close at $242.67.
“Unfortunately, it’s likely the market will remain doggish the rest of the week as fed cash cattle sales are cheaper and a Cattle on Feed report is set to be released later this week as well,” Stewart wrote on Wednesday.
Corn futures were down slightly, with the September and December contracts down 4 cents apiece to $3.71 and $3.93, respectively.
Missouri: Joplin Regional Stockyards in Carthage sold 4,500 head on Monday. Compared to a week earlier, feeder steers and heifers sold mostly steady at the mid-session. Benchmark steers averaging 726 lbs. sold from $260-265, averaging $262.14.
Oklahoma: Oklahoma National Stockyards in Oklahoma City sold 4,229 head on Monday. Compared to a week earlier, feeder cattle were lightly tested. Feeder steers sold mostly steady to $2 lower with most of the decline over 800 lbs. Feeder heifers sold unevenly steady. Steer and heifer calves sold $3-6 lower. Benchmark steers averaging 781 lbs. sold from $240-255, averaging $246.62. — Anna Miller, WLJ managing editor
