Fed Cattle Three Weeks Steady, Feeders Higher
Cash fed cattle prices were steady last week for the third consecutive week. Light trade in the North occurred at $120 live, and $190 to $191 dressed. Cattle trade in the south was $119 to $120 in light to moderate volumes.
Wholesale beef prices continued their advance, sparked by smaller than expect cattle slaughter early in the week due to the cyberattack at JBS. Choice box beef was quoted Friday at $338.98 per cwt., $8.01 higher. Select was $10.83 per cwt. higher at $311.73
Feeder cattle sold at auction steady to $4 higher in a holiday-shortened week. Agricultural Marketing Service reporters called demand good to very good for both calves and yearlings.
At the CME, August live cattle fell $0.45 to $118.075 on Friday, near the session low and down from $118.60 at the end of the previous week, but well-off Tuesday’s lows. August feeder cattle fell $3.025 to $149.925 and down from $151.35 at the end of the previous week.
5-day outlook: Friday’s weakness raises questions over how much upside cattle prices may have over the near-term and whether summer grilling demand has been filled. Price action this week took some wind out of bulls’ sails, though the long-term uptrend is still intact.
USDA weekly cattle slaughter was estimated at 538,000 head, 89,701 lower than the same week a year ago, a non-holiday week (-14%). Total year-to-date slaughter was 14.08 million head, 5.8% higher than last year.
