Cash fed cattle trade took on a decidedly bearish tone Wednesday.
Slaughter steers and heifers sold $17-$20 lower at Sioux Falls Regional in South Dakota. Choice 2-3 steers weighing an average of 1,411 lbs. brought an average price of $100.45/cwt. Country trade in the western Corn Belt last week was at mostly $120.
Cattle feeders offered 4,696 head in the weekly Fed Cattle Exchange auction Wednesday. Just 832 head sold: 662 head at a weighted average price of $113/cwt. for delivery at 1-9 days; 170 head at a weighted average of $112.06 for delivery at 1-17 days. Most of the sales were from the Sothern Plains where last week’s negotiated cash price was $118-$120.
Cattle future fell hard Wednesday, limit down across the board, except one Live Cattle contract. Pressure included the softer cash outlook and diving wholesale beef values, as well as lower outside markets. News that a significant number of workers at JBS facilities in Greeley, CO stayed home Tuesday, due to confirmed cases of COVID-19, also weighed.
Except for 85¢ lower in the back contract, Live Cattle futures closed an average of $4.50 lower.
Feeder Cattle futures closed limit-down $4.50.
Wholesale beef values were sharply lower on light demand and moderate offerings, according to the Agricultural Marketing Service.
Choice boxed beef cutout value was $7.98 lower Wednesday afternoon at $235.17/cwt. Select was $3.83 lower at $225.13. Over the last two days, Choice was down $15.80 and Select was $13.01 lower. Also, drop value sank to a new multi-year low of $7.92/cwt.
Corn futures closed mostly 7¢ to 9¢ lower.
Soybean futures closed 10¢ to 23¢ lower through Mar ’21 and then mostly 4¢ to 7¢ lower.