Concern over the U.S. banking sector rattled investors on Wall Street this week with stocks moving lower. The undercurrents of a nervous equity market spilled over to push cattle futures lower. The result was a positive basis between cash and futures that enticed those with hedged cattle to accept lower bids and empty pens.
The bulk of cash cattle trading occurred early in the week with the North activity called moderate at mostly $164 live and $264 dressed, both $1 lower for the week. Moderate volumes traded in the South at $164 which is also $1 lower.
Friday’s USDA Cattle on Feed report found 4% fewer on inventory March 1, at 11.6 million head. Placements totaled 1.7 million which was 7% lower than the same month a year ago. Marketings totaled 1.74 million head, down 5% from March of 2022.
