Cattle futures were mostly higher Wednesday with increased chances of steady to higher negotiated cash fed cattle prices this week.
Toward the close, Live Cattle futures were an average of $1.14 higher, except for 10¢ lower in the back contract. Feeder Cattle futures were an average of 73¢ higher, except for unchanged to 20¢ lower in the back three contracts.
Negotiated cash fed cattle trade was inactive on light demand in all major cattle feeding regions through Wednesday afternoon, according to the Agricultural Marketing Service.
Last week, FOB live prices were $256-$258/cwt., in Kansas and $256 elsewhere. Dressed delivered prices were mainly $405.
Choice boxed beef cutout value was 38¢ higher Wednesday afternoon at $393.28/cwt. Select was $1.23 lower at $375.70.
Grain and Soybean futures were mixed but firmer Wednesday with higher oil prices and ahead of Thursday’s World Agricultural Supply and Demand Estimates.
Toward the close, and through near Mar contracts, Corn futures were mostly fractionally lower to 2¢ higher. Soybean futures were mostly 7¢ to 10¢ higher. Kansas City HRW Wheat futures were fractionally higher to 1¢ lower.
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Major U.S. financial indices closed sharply lower Wednesday, under pressure from a variety of forces, including escalation in the U.S.-Iran war and related higher oil prices, a continued selloff in chip stocks and hotter inflation.
The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.5% on a seasonally adjusted basis in May, according to the U.S. Bureau of Labor Statistics. Over the last 12 months, the all items index increased 4.2% before seasonal adjustment. The index for energy rose 3.9% in May, after rising 3.8% in April and 10.9% in March. The energy index accounted for over 60% of the monthly all items increase.
The Dow Jones Industrial Average closed 953 points lower. The S&P 500 closed 119 points lower. The NASDAQ was down 509 points.
Through mid-afternoon, West Texas Intermediate Crude Oil futures (CME) were $1.94 to $2.74 higher through the front six contracts.
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While improving in some areas, national pasture and range conditions continue less favorable year over year, according to USDA’s Crop Progress report for the week ending June 7. Nationwide, 31% was rated as Good (25%) or Excellent (6%), compared to 43% the previous year. On the other end of the scale, 40% was in Poor (21%) or Very Poor condition (19%), which was 9% more than the same time last year with 6% more in Very Poor condition.
States with 40% or more pasture and range ranked as Poor or Very Poor included: Arizona (83%), Colorado (52%), Montana (58%), Nebraska (80%), New Mexico (46%), North Carolina (56%), South Dakota (43%), Utah (54%), Virginia (52%), West Virginia (53%) and Wyoming (56%).
Winter wheat condition continued to lose ground with 25% ranked in Good (21%) or Excellent (4%) condition, which was 29% less than the same time last year. Conversely, 46% was in Poor (26%) or Very Poor (20%) condition, compared to 16% at the same time last year. Harvest is progressing more rapidly than usual with 11% completed, which was 7% more than the same time last year and 5% more than the five-year average.
Corn planting is about finished with 97% in the ground, which was 1% more than last year and the average. Emergence of 86% was the same as last year and the five-year average. In terms of condition, 67% was in Good (55%) or Excellent (12%) condition, compared to 71% a year earlier; 6% was rated as Poor (5%) or Very Poor (1%), compared to 5% a year earlier.
Similarly, 92% of the soybean crop was planted, which was 3% more than a year earlier and 4% more than average. Emergence of 79% was 6% more than a year earlier and 8% more than average. In terms of condition, 65% was in Good (56%) or Excellent (9%) condition, compared to 68% a year earlier; 6% was rated as Poor (5%) or Very Poor (1%), compared to 5% a year earlier.