Negotiated cash fed cattle trade ended up generally steady to firm last week, with live prices in the Southern Plains and Nebraska at $124/cwt. and at $124-$126 in the western Corn Belt. Dressed prices were at $199 in Nebraska and mostly $198-$199 in the western Corn Belt.
Cattle futures continued lower, to a lesser degree than the previous session, helped along by weaker outside markets.
Other than an average of 13¢ higher in three contracts, Live Cattle futures close an average of 24¢ lower.
Feeder Cattle futures closed an average of 69¢ lower.
Wholesale beef values were weak to lower on light to moderate demand and moderate offerings, according to the Agricultural Marketing Service.
Choice boxed beef cutout value was 83¢ lower Friday afternoon at $214.49/cwt. Select was 50¢ lower at $210.70.
Corn futures closed mostly 3¢ to 5¢ lower.
Soybean futures closed mostly 5¢ to 8¢ lower through Nov ‘21 and then mostly 1¢ higher.
*******************************
Growing fears about coronavirus and its potential impact on the fragile global economy pressured equity markets Friday.
The Dow Jones Industrial Average closed 170 points lower. The S&P 500 closed 30 points lower. The NASDAQ was down 87 points.
*******************************
Traders will likely view Friday’s monthly USDA Cattle on Feed report as neutral, given the fact that estimates basically mirrored pre-report expectations.
December placements in feedlots with 1,000 head or more capacity were 1.83 million head, which was 3.45% (+61,000 head) more year over year. That was 0.15% more than average estimates ahead of the report.
Marketings in December of 1.83 million head were 5.34% (+93,000 head) more than a year earlier. In terms of placement weights, 50.32% went on feed weighing 699 lbs. or less, 38.73% weighed 700-899 lbs. and 10.94% weighed more than 900 lbs.
Cattle on feed Jan. 1 of 11.96 million head were 2.29% (+268,000 head) more than the same date a year earlier. That was 0.19% more than average estimates ahead of the report.