Cattle Markets Higher, COF News Good

Feeder cattle sold $1 to $5 higher. ( FJ )

Cash fed cattle traded in the north at $108 to $109 live, and $175 to $178 dressed, $2 to $6 higher than last week. A few cattle sold in Iowa at $110. Cattle on the High Plains traded mostly at $106, steady to $1 higher.

USDA reports estimated slaughter volume to be 654,000 head, 3,000 more than last week and 12,000 more than last year.

USDA’s Aug. 1, 2019, cattle on feed report pegged numbers at 11.1 million head, up slightly from the same period last year. The numbers were mostly in line with what analysts expected. It was also the highest Aug. 1 inventory since the series began in 1996. Marketings of fed cattle during July totaled 2.0 million head, 7% above 2018.

Placements in feedlots during July totaled 1.71 million head, 2% below 2018. Net placements were 1.63 million head. During July, placements of cattle and calves weighing less than 600 pounds were 360,000 head, 600-699 pounds were 260,000 head, 700-799 pounds were 410,000 head, 800-899 pounds were 385,000 head, 900-999 pounds were 200,000 head, and 1,000 pounds and greater were 90,000 head.

Steers and heifers sold at auction this week $1 to $5 higher, according to Agricultural Marketing Service reporters.

“The supply of feeders was light this week with receipts much lower than normal,” AMS said. “Coupling this week’s receipts with last week, a new two-week non-holiday low was set with only 192,900 head sold at weekly auctions.”

For the week, the Choice cutout closed $1.17 lower at $237.52, while Select was $0.55 lower at $212.71.