Fed Cattle
Four U.S. Senators announced they have introduced a revised Cattle Price Discovery and Transparency Act and will push for a hearing on the bill by the Senate Agriculture Committee in the coming weeks.
If drought conditions persist, feedlots may continue to borrow against the future with early weaned calves available through the spring and summer before facing the full reality of tighter feeder cattle supplies.
Kansas cattleman and feedyard operator Robert “Bob” E. Foote, Bucyrus, Kansas, passed away March 25 at his home surrounded by loved ones.
Modest packer participation in all regions led to another disappointing week for cattle feeders trying to push the market higher.
Fed cattle trades began the week at steady before finding higher bids late week. Cattle on feed numbers remain high as USDA reported a 9% increase in February placements over last year.
Cattle feeders began last week optimistic that the market trend would be higher, but those ideas were quickly squashed as futures prices began trending lower.
Cash fed cattle prices traded mostly steady in what most describe as a disappointing market. Cattle feeders began the week asking higher prices but cash bids of $138 bought most cattle in the South.
A bi-annual survey of the four largest packers showed a dramatic increase in rewards for the Certified Angus Beef ® (CAB®) brand. Grid, formula and contract premiums paid on CAB carcasses in 2021 totaled $182 million.
In 2019 Certified Angus Beef reported an aggregate packer CAB premium total of $92 million. By 2021 that total was nearly double, resulting in $182 million in CAB premiums.
Name calling aside, what problem are we really trying to solve? Twenty-two years of data sourced from LMIC tell a compelling story (or lack thereof) about the relationship between cash trade and producer profitability.
In an exclusive Drovers commentary, the president and CEO of the North American Meat Institute says despite popular arguments, America’s cattle and beef industries are better without government intervention.
The month of March will continue to bring more cooler cleanings on the packer’s part. This will continue to keep the number of cattle needed by the packer to minimum.
The pilot program marks a win for the U.S. cattle industry as it equips producers with the market data they need to make informed business decisions and work to capture more value for producing the highest quality beef.
In a rebuttal to accusations of being an “ally” to big packers over federal mandates for minimum cash trades for live cattle, Steve Cornett pleads not guilty and offers additional arguments for consideration.
Self-interests of large packers has led to exploitation of independent cattlemen on one side of the supply chain and consumers on the other, says Bill Bullard. He believes Senate Bill 949 is the “packers’ kryptonite.”
Higher grain prices raise the question of how cattle should be finished. A recent grass vs. grain discussion included the performance and economic perspectives but added an environmental evaluation.
Wheat and corn prices continued to find fuel this week from the ongoing conflict in Ukraine, but cattle markets were in retreat. The Russia/Ukraine conflict will continue to play a role in markets moving forward.
Are speculators in CME Live cattle futures markets dominating price movement, adding to volatility and uncertainty? Nevil Speer examines the data to provide perspective.
In the fifth installment of a series exploring cattle market reforms, Steve Cornett conducts a Q&A with Brad Kooima, a commodity broker and independent cattle feeder in Sioux Center, Iowa.
Highlighting sustainability in the beef industry and how it can be demonstrated and proven through existing current practices and a focus on record keeping.
Quality grades set record highs for combined Choice and Prime carcasses during the first five weeks of 2022, slightly higher than last year. Prime grades are down marginally from year-ago at 10% vs. 10.8% last year.
Friday’s Cattle on Feed was not expected to create any additional near-term market volatility. Yet, a closer analysis finds heavy front-end numbers along with signals the feeder cattle supply is tightening.
The Russia-Ukraine conflict produced another set-back for fed cattle last week. The industry is hoping this week will bring less volatility in the markets.
Cash cattle saw average prices move slightly higher for the week while CME futures tumbled lower. USDA’s reported cattle on feed February 1 inventory was the highest for that month in the series going back to 1996.
Taking a detour into how stewardship and sustainability play a role in the future of cattle marketing, Steve Cornett offers the fourth installment of a who-knows-how-many series on proposals to reform cattle markets.
USDA announced the availability of up to $215 million in grants and resources as part of a continued effort to strengthen the meat and poultry processing sector and create a more resilient food supply chain.
Cattle markets were hit hard Thursday on news of Russia’s invasion of Ukraine. Higher grain prices drove feeder cattle prices as much as $5 lower on CME feeder cattle futures and more than $2 lower for CME Live cattle.
The increased use of alternative marketing arrangements has allowed feedlots to spend less effort and energy on guessing the market – and more work dedicated to consistent throughput, Nevil Speer says.
The USDA January 1 cow herd inventory, published this Monday, confirmed a 2% decline in the beef cow herd, along with a 1% decline in feeder cattle supplies.
SenseHub Feedlot offers those who manage and care for cattle an innovative new approach to detecting illness, including bovine respiratory disease.