The cattle markets remained mostly steady over Labor Day week, although feedlots continue to hold out for higher packer bids and slaughter volumes were light due to a holiday-shortened kill week.
Live cattle futures traded mostly sideways over the week. The October contract lost 65 cents to close at $177.25, and the December contract gained 2 cents to close at $176.72.
Total cash trade for the week was about 15,000 head by Thursday afternoon. Live steers sold from $180-183, and dressed steers sold from $286-288.
“Feedlot managers are holding out, hoping as the week drags on that packers will be willing to offer up steady money with last week’s business,” wrote ShayLe Stewart, DTN livestock analyst, in her Thursday midday comments. “As of right now, there are no bids on the table, but packer interest will likely increase Thursday afternoon.”
Cash trade through Sept. 1 was 65,472 head. Live steers averaged $184.10, and dressed steers averaged $290.29.
Slaughter through Thursday was about 376,000 head, about 100,000 head short of a week earlier due to the Labor Day holiday. Projected total slaughter for a week earlier is estimated at 611,000 head. Actual slaughter for the week ending Aug. 24 was 608,984 head. The average steer dressed weight was 931 lbs., the same as a week prior.
“Packer margins last week were their blackest of 2024, something the packer will not want to relinquish,” said Cassie Fish, market analyst, in The Beef on Thursday.
Boxed beef prices were mostly steady over the week, with the Choice cutout up $2.85 to $311.51 and the Select cutout up 59 cents to $296.78.
“Prices last week were their cheapest since spring and the cheaper prices did stimulate demand,” Fish said. “But the narrower-than-usual Choice/Select spread, hovering just over $10/cwt, continues to signal that the real support in the beef market continues to come from the tight availability of grinding material.”
Feeder cattle
Feeder cattle futures traded lower over the week. The September contract lost $2.38 to close at $237.15, and the October contract lost $2.10 to close at $234.57.
“What continues to be frustrating about the way in which traders handle the feeder cattle complex is the degree in which they send the contracts lower when pressure builds,” Stewart said.
The CME Feeder Cattle Index lost $1.37 to close at $241.27.
Corn futures traded higher over the week, with the September contract up 19 cents to $3.90 and the December contract up 14 cents to $4.10.
Kansas: Winter Livestock in Dodge City sold 1,768 head on Wednesday. Compared to a week earlier, feeder steers under 700 lbs. were not well-tested, but over 700 lbs. sold steady to $4 lower. Heifers under 700 lbs. were not well-tested, but over 700 lbs. sold $4 lower. Benchmark steers averaging 827 lbs. sold from $240.50-246.2, averaging $243.25.
Missouri: Ozarks Regional Stockyards in West Plains sold 2,027 head on Tuesday. Compared to the last auction, feeder steers and heifers sold steady to $3 higher. Steer and heifer calves under 700 lbs. sold steady to $5 higher. Benchmark steers averaging 716 lbs. sold for $239-250, averaging $245.15.
Nebraska: Bassett Livestock Auction in Bassett sold 2,540 head on Wednesday. Compared to two weeks earlier, 900-1,000-lbs. steers sold $2-9 higher. Benchmark steers averaging 806 lbs. sold for $254.50.
Wyoming: Torrington Livestock in Torrington sold 3,982 head on Wednesday. Benchmark steers averaging 729 lbs. sold from $242-258, averaging $251.11. — Anna Miller, WLJ managing editor
