Despite softer wholesale beef values to start the week, signs continue pointing toward higher cash fed cattle prices.
Although there is yet any country trade to speak of, slaughter cattle traded $1-$3 higher at Sioux Falls Regional Livestock in South Dakota on Wednesday.
Sellers passed on bids of $117-$118/cwt. for a couple of lots of heifers in yesterday’s weekly Fed Cattle Exchange Auction; there were 967 head offered and no sales.
Moreover, chatter about greener cattle, regionally snug supplies and recent sturdiness in Cattle futures suggests packers need to remain aggressive buyers heading into the holidays.
Cattle futures edged mostly higher amid mixed trade, continuing the recent, tentative steps toward establishing more upside.
Except for 20¢ lower in the back contract, Live Cattle futures closed an average 49¢ higher (7¢ to 92¢ higher).
Feeder Cattle futures closed an average of 59¢ higher (15¢ to $1.07 higher).
Choice boxed beef cutout value was $2.08 lower Wednesday afternoon at $206.55/cwt. Select was $1.36 lower at $185.84.
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