Cash Cattle Markets And CME Futures Lower
All classes of cattle traded lower on the week. Fed cattle traded in the South at $122 per cwt., $2 lower. Trade in the North was mostly $121 to $121.50 live and $194 to $195 dressed, $1.50 to $5 per cwt. lower.
CME Live cattle closed mixed on Friday, with feeders posting moderate gains. Both markets closed lower for the week and the month of January. April live cattle closed down 40 cents to $121. 375, while March feeders were up 42.5 cents to $136.075. April cattle lost $5.80 in January and March feeders were down $8.15.
Steers and heifers sold at auction mostly $2 to $5 lower, with instances as much as $10 lower.
AMS reporters said, “There was some hesitation among buyers this week as the CME futures had a downward turn and sell-off early in the trading period. Long weaned and backgrounded cattle continued to be in good demand, as we are in the heart of Winter. Heavy rains, along with a cold front, moved thru the Texas and Oklahoma Panhandle, which resulted in lighter than normal receipts.
Feedlot conditions have continued to deteriorate this week lowering cattle yields in most feeding regions. The estimated weekly cattle slaughter was reported at 637,000 head, 10,000 lower than last week and 44,000 higher than a year ago.
The Cattle Inventory report estimated on Jan.1 all cattle and calves at 100 percent compared to last year, with beef and milk cows at 99 percent compared to last year.
On the week Choice cutout closed at $123.00 per cwt., $1.49 lower. Select was 4 cents lower at $210.66 per cwt. The Choice-Select spread was $2.34.
Related stories:
Cattle Inventory Down slightly, USDA Reports
