Daily Market Highlights

Feeder Cattle futures continued to adjust lower, down an average of $2.32 amid a bounce in Corn futures.

Live Cattle futures closed an average of 39¢ lower with apparent pressure from sliding seasonal wholesale beef values.

Corn futures bounced back Thursday with a gloomier weather outlook. They closed 12¢ to 18¢ higher through Jly ‘24, and then 6¢ to 7¢ higher.

Soybean futures closed lower on oversold conditions. They were down 15¢ to 24¢ lower through Jan ‘24, and then 7¢ to 12¢ lower.

KC HRW Wheat closed mixed, fractionally lower to 6¢ lower through May ’24 and then 3¢ to 6¢ higher.

Negotiated cash fed cattle trade ranged from slow on light demand to mostly inactive on very light demand through Thursday afternoon, according to the Agricultural Marketing Service.

On light trade, live prices were steady to $1 lower in the Southern Plains at $178/cwt. and unevenly steady in the western Corn Belt at $179-$184, where dressed prices last week were $290.

Last week, live prices in Nebraska were $180-$183 on a live basis and $290 in the beef.

Choice boxed beef cutout value was $2.91 lower Thursday afternoon at $319.87/cwt. Select was $2.72 lower at $289.97/cwt.

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Major U.S. financial indices closed lower Thursday with worries that positive employment data will fuel more interest rate hikes. Private sector employment increased by 497,000 in June, according to the ADP National Employment report. That was significantly more than expected.

The Dow Jones Industrial Average closed 366 points lower. The S&P 500 closed 35 points lower. The NASDAQ was down 112 points.

West Texas Intermediate Crude Oil futures (CME) closed mostly narrowly lower through the front six contracts.

Cattle futures showed signs of modest correction Wednesday as traders await direction from the week’s cash market.

Feeder Cattle futures closed an average of $2.79 lower ($2.17 to $3.25 lower).

Live Cattle futures closed an average of $1.14 lower (72¢ to $1.87 lower).

Negotiated cash fed cattle trade ranged from mostly inactive with very light demand to a standstill through Wednesday afternoon, according to the Agricultural Marketing Service.

Last week, live prices were $179/cwt. in the Texas Panhandle, $178 in Kansas, $182-$185 in Nebraska and $180-$183 in the western Corn Belt at $180-$183. Dressed prices were $290.

Choice boxed beef cutout value was $5.56 lower Wednesday afternoon at $322.78/cwt. Select was $1.61 lower at $292.69/cwt.

Wheat futures bounced higher Wednesday amid selling fatigue and concerns about Russia’s sword rattling.

KC HRW Wheat closed 25¢ to 50¢ higher.

Corn and Soybean futures held their own with static week over week crop conditions.

Corn futures closed mostly 1¢ to 3¢ higher, except for the front two contracts.

Soybean futures closed mostly 1¢ to 8¢ higher through Aug ‘24, and then 11¢ to 13¢ higher.

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Major U.S. financial indices resumed the trading week with softer tones Wednesday.

The Dow Jones Industrial Average closed 129 points lower. The S&P 500 closed 8 points lower. The NASDAQ was down 25 points.

West Texas Intermediate Crude Oil futures (CME) closed $1.80 to $2.00 higher through the front six contracts.

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Agricultural producer sentiment improved last month, according to the Purdue University/CME Group Ag Economy Barometer index. It rose 17 points from the May reading to 121 in June. Producers’ perceptions of current conditions was unchanged but they were more optimistic about the future with Index of Future Expectations increasing 25 points to 123.

“Optimism about U.S. agriculture’s future and a more sanguine interest rate outlook help explain producers’ more positive view of the future expressed in June’s survey,” says James Mintert, the barometer’s principal investigator and director of Purdue University’s Center for Commercial Agriculture. “However, current conditions in the farming economy continue to present a challenge for some producers. This month four out of 10 producers stated that their financial situation has deteriorated compared to a year ago.”

The Farm Financial Performance Index also rose this month, up 10-points from May and was likely a result of a late-May to early-June rally in harvest time prices for corn and soybeans, as well as optimism towards positive returns for cattle producers.

In June, 50% of respondents said they expect “good times” for livestock producers in the next five years, up from 37% in May. Optimism about positive returns for cattle producers, especially cow-calf operations, was likely a key factor behind the positive livestock outlook.

The Ag Economy Barometer is calculated each month from 400 U.S. agricultural producers’ responses to a telephone survey. This month’s survey was conducted between June 12-16.

Negotiated cash fed cattle trade was at a standstill through Monday afternoon, according to the Agricultural Marketing Service.

Last week, live prices were $1 lower in the Texas Panhandle at $179/cwt., $2 lower in Kansas at $178, steady in Nebraska at $182-$185 and $2-$4 lower in the western Corn belt at $180-$183. Dressed prices were steady at $290.

The weighted average five-area direct fed steer price last week was $181.33/cwt. on a live basis, which was $1.24 lower than the previous week. The average fed steer price in the beef was 47¢ lower at $289.34.

Choice boxed beef cutout value was 62¢ higher Monday afternoon at $328.34/cwt. Select was 67¢ higher at $294.30/cwt.

Cattle futures mostly held their ground Monday.

Feeder Cattle futures closed an average of 63¢ higher (32¢ to $1.17 higher).

Live Cattle futures closed narrowly mixed, from an average of 17¢ lower in the front four contracts to an average of 34¢ higher.

Corn futures firmed some Monday with likely support from rallying Soybeans.

Corn futures closed mixed, mostly 2¢ lower to 1¢ higher.

Soybean futures closed mostly 22¢ to 31¢ higher, building on Fridays Acreage report.

KC HRW Wheat closed mostly 1¢ to 6¢ lower.

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Major U.S. financial indices edged higher Monday after the holiday-shortened trading session.

The Dow Jones Industrial Average closed 10 points higher. The S&P 500 closed 5 points higher. The NASDAQ was up 28 points.

West Texas Intermediate Crude Oil futures (CME) closed 85¢ to $1.02 lower through the front six contracts.

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Saying that cattle markets have been bullish so far this year is an understatement.

In his weekly market comments, Derrell Peel, Extension livestock marketing specialist at Oklahoma State University explains Oklahoma auction prices for steer calves weighing less than 600 pounds averaged 41.9% higher year over year in June; 39.7% higher for feeder steers weighing more than 600 pounds. He adds that the five-area fed cattle price averaged 30.3% higher year over year over the past four weeks. 

“The June cattle on feed report showed that feedlot inventories have been lower for nine consecutive months,” Peel says. “The decline in feedlot inventory has been relatively slow with May feedlot placements higher than expected based on lingering drought impacts and strong feeder demand as feedlots attempt to maintain inventories. However, feeder supplies and feedlot numbers will continue to decline as the reality of smaller cattle supplies builds. Increased heifer retention is likely to squeeze feeder supplies more sharply in the second half of the year.”

As it is, Peel points out beef production through the first 24 weeks of this year was 4.9% less than last year’s record pace. So far this year, he says yearling slaughter (steer + heifer) is 3.0% less year over year with steer slaughter down 4.7% and heifer slaughter down 0.4%.

“However, heifer slaughter is down 4.9% year over year in the last four weeks and combines with a 5.9% decrease in steer slaughter to reduce total yearling slaughter 5.5% in the most recent four weeks of data,” Peel explains. “Total cow slaughter is down 4.4% for the year to date with a 12.1% decrease in beef cow slaughter … Bull slaughter is down 8.4% thus far in 2023.”

The primary question about markets in the second half of the year revolves around the extent to which herd rebuilding begins — increased heifer retention and continued reductions in beef cow slaughter, according to Peel. He notes producer expectations and remaining drought conditions will impact the timing of herd rebuilding efforts.

“The upcoming July Cattle on Feed report (with quarterly steer and heifer feedlot inventories) and the July Cattle report are expected to provide important clues as to how cattle market conditions may change in the second half of the year,” Peel says.

Cattle futures climbed Friday as Corn futures slid on the bearish Acreage report (see below).

Feeder Cattle futures closed an average of $4.03 higher ($3.15 to $5.20 higher).

Live Cattle futures closed an average of $1.51 higher (65¢ higher at the back to $2.67 higher in new spot Aug).

Week to week on Friday, Feeder Cattle futures were up an average of $11.10 and Live Cattle futures were up an average of $3.68.

Negotiated cash fed cattle trade was mostly slow with light to moderate demand through Friday afternoon, according to the Agricultural Marketing Service.

Although too few to trend, there were a few live trades in the Texas Panhandle at $179/cwt. and at $182-$183 in the western Corn Belt. There were a few dressed trades in Nebraska at $290.

The only established trade for the week was in Kansas where live prices were $2 lower at $178.

Last week, live prices were $180/cwt. in the Southern Plains $182-$185 in Nebraska and $184-$185 in the western Corn Belt. Dressed prices were $290.

Choice boxed beef cutout value was 33¢ lower Friday afternoon at $327.72/cwt. Select was $3.55 lower at $293.63/cwt.

Estimated total cattle slaughter last week of 644,000 head was 5,000 head fewer than the previous week but 3,000 more than the same week last year. Year-to-date estimated total cattle slaughter of 16.3 million head was 580,000 head (-3.4%) less. Estimated year-to-date beef production of 13.34 billion pounds was 635.6 million pounds less (-4.5%).

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Corn futures tumbled Friday, closing 26¢ to 35¢ lower through Jly ’24 and then mostly 4¢ to 10¢ lower after USDA released the Acreage report, showing significantly more corn acres than expected (see below).

USDA estimated corn planted area for all purposes this year at 94.1 million acres, in the Acreage report. That was 5.52 million acres more (+6%) than last year, and 2.1 million acres more than the March Prospective Plantings report. Corn acres would be the third highest planted acreage in the United States since 1944. Projected area harvested for grain of 86.3 million acres would be 9% more than last year.

Conversely, soybean planted area for 2023 was estimated at 83.5 million acres, down 5% from last year and 4 million acres fewer than the Prospective Plantings report.

All wheat planted area for 2023 was estimated at 49.6 million acres, up 9% from last year. The 2023 winter wheat planted area of 37.0 million acres was 11% more than last year but 1% less than the previous estimate.

On Friday, Soybean futures closed 72¢ to 77¢ higher through Jan ‘24 and then 28¢ to 56¢ higher through Aug ‘24.

Week to week on Friday, Corn futures were an average of 86’9¢ lower through the front six contracts, while the front six contracts for Soybean were 34’5¢ higher.

USDA estimated all acres for hay harvested this year at 51.98 million acres, which would be 2.4 million acres more (+4.9%) than last year

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Major U.S. financial indices closed higher Friday, boosted by another gauge of cooling inflation.

The Personal Consumption Expenditures (PCE) price index, excluding food and energy, increased 0.3% month over month in May and 4.6% year over year, which was less than expected.

The Dow Jones Industrial Average closed 285 points higher. The S&P 500 closed 53 points higher. The NASDAQ was up 196 points.

West Texas Intermediate Crude Oil futures (CME) closed 52¢ to 78¢ higher through the front six contracts.

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The quarterly Grain Stocks report issued Friday continued to paint a picture of snugger on-hand supplies.

Corn stocks in all positions on June 1, 2023 totaled 4.11 billion bushels, down 6% year over year. Of the total stocks, 2.22 billion bushels were stored on farms, up 5% from a year earlier. Off-farm stocks of 1.89 billion bushels were 15% less than a year ago.

Soybeans stored in all positions on June 1, 2023 totaled 796 million bushels, down 18% from the same time last year. On-farm stocks totaled 323 million bushels, down 3% from a year ago. Off-farm stocks of 473 million bushels were 26% less than a year ago.

Old-crop all wheat stored in all positions on June 1, 2023 totaled 580 million bushels, down 17% from a year ago. On-farm stocks were estimated at 124 million bushels, up 34% from last year. Off-farm stocks of 456 million bushels were 25% less than a year ago.

Cattle futures continued to gain Thursday on Corn weakness.

Feeder Cattle futures closed an average of $1.41 higher (90¢ to $2.12 higher).

Live Cattle futures closed an average of 43¢ higher.

Corn futures closed 6¢ to 9¢ lower.

Soybean futures closed mostly fractionally lower to 4¢ lower, except for gains in the front four contracts.

KC HRW Wheat closed mostly 7¢ to 10¢ lower.

Negotiated cash fed cattle trade ranged from mostly limited on light demand to mostly inactive on light demand through Thursday afternoon, according to the Agricultural Marketing Service.

There were a few live trades in Nebraska at $182/cwt., but too few to trend.

So far this week, live sales in Kansas are $2 lower at $178.

Last week, live prices were $180/cwt. in the Southern Plains $182-$185 in Nebraska and $184-$185 in the western Corn Belt. Dressed prices were $290.

Choice boxed beef cutout value 15¢ higher Thursday afternoon at $328.05/cwt. Select was 50¢ higher at $297.18/cwt.

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Major U.S. financial indices closed mostly higher Thursday, buoyed by banks’ successful passage of stress testing.

The Dow Jones Industrial Average closed 296 points higher. The S&P 500 closed 19 points higher. The NASDAQ was fractionally lower.

West Texas Intermediate Crude Oil futures (CME) closed 18¢ to 30¢ higher through the front six contracts.

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Per capita red meat and poultry disappearance—often used as a proxy for consumption—is forecast to decline 1% next year, mostly due to an 8% projected decline in per capita disappearance of beef, according to USDA’s Economic Research Service.

For pork, a very slight decrease in pork production, combined with higher expected exports, result in a very small decrease in forecast per capita disappearance next year.

Feeder Cattle futures maintained upward momentum as Corn futures continued to decline.

Feeder Cattle futures closed an average of $1.32 higher.

Live Cattle futures closed an average of 75¢ higher through Feb ‘24 (32¢ to $1.37 higher) and then unchanged to an average of 48¢ lower.

Negotiated cash fed cattle trade ranged from mostly inactive on light demand to a standstill through Wednesday afternoon, according to the Agricultural Marketing Service.

So far this week, live sales in Kansas are $2 lower at $178/cwt.

Last week, live prices were $180/cwt. in the Southern Plains $182-$185 in Nebraska and $184-$185 in the western Corn Belt. Dressed prices were $290.

Choice boxed beef cutout value was $1.33 lower Wednesday afternoon at $327.90/cwt. Select was $1.75 lower at $296.68/cwt.

More rain forecast for the Corn Belt took grain and Soybean futures lower for the second consecutive session.

Corn futures closed 20¢ to 33¢ lower through Jly ‘24 and then 3¢ to 10¢ lower.

Soybean futures closed 28¢ to 44¢ lower through Jan ‘24 and then mostly 22¢ to 24¢ lower.

KC HRW Wheat closed 18¢ to 33¢ lower. 

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Major U.S. financial indices closed mixed Wednesday with pressure the Fed emphasizing more future interest rate hikes are likely in the picture.

The Dow Jones Industrial Average closed 33 points lower. The S&P 500 closed 1 point lower. The NASDAQ was up 36 points.

West Texas Intermediate Crude Oil futures (CME) closed $1.61 to $1.86 higher through the front six contracts.

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Many meat and food item prices continue to increase but at a more moderate pace than last year, according to the latest Food Price Outlook from USDA’s Economic Research Service.

For instance, food at home prices were 0.1% higher month to month in May and 5.8% higher year over year. Year-to-date prices were 4.7% more than the same time last year when food at home prices were 11.4% more year over year.

More specifically, beef and veal prices increased 1.5% month to month in May and 1.0% year over year. Year-to-date prices were 0.1% less than the same time last year when prices were 5.3% higher year over year.

“The Choice beef price (May) topped $8.08 per pound while the all-fresh beef retail price exceeded $7.50 per pound,” says Andrew P. Griffith, agricultural economist at the University of Tennessee in his weekly market comments. “The Choice beef price is a historic high and represents a $0.23 per pound increase from April. The all-fresh beef retail price for May was $0.18 per pound higher than April and the third highest monthly price on record and the highest it has been since November 2021.”

By way of contrast, pork prices were 0.1% higher month to month but 2.9% lower year over year. Year-to-date, pork prices were down 1.9%. Poultry prices were 0.2% higher month to month and 2.1% higher year over year. Year-to-date poultry prices were up 2.2%.

Cattle futures rallied Tuesday, buoyed by declining Corn futures.

Feeder Cattle futures closed an average of $4.02 higher.

Live Cattle futures closed an average of $1.55 higher ($1.22 to $2.05 higher).

Corn futures took a sharp step lower, pressured by more rain forecast in the Corn Belt and despite deteriorating crop conditions displayed in the previous day’s weekly Crop Progress report. Keep in mind Acreage and Grain Stocks reports out Friday.

Corn futures closed mostly 15¢ to 27¢ lower.

Soybean futures closed 20¢ to 29¢ lower through Sep ‘24 and then mostly 17¢ lower.

KC HRW Wheat closed 20¢ to 28¢ lower.

Negotiated cash fed cattle trade ranged from light on light demand in the Southern Plains to mostly inactive on very light demand through Tuesday afternoon, according to the Agricultural Marketing Service.

Although too few to trend, there were a few live sales in Kansas at $178/cwt.

Last week, live prices were $180 in the Southern Plains $182-$185 in Nebraska and $184-$185 in the western Corn Belt. Dressed prices were $290.

Choice boxed beef cutout value was $3.81 lower Tuesday afternoon at $329.23/cwt. Select was $1.24 lower at $298.43/cwt.

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Major U.S. financial indices rose Tuesday, supported by positive economic news including an unexpected May increase of 1.7% for new manufactured durable goods orders. Consumer Confidence in June was also significantly higher.

The Conference Board Consumer Confidence Index® increased to 109.7 in June, up from 102.5 in May.

“Consumer confidence improved in June to its highest level since January 2022, reflecting improved current conditions and a pop in expectations,” says Dana Peterson, Chief Economist at The Conference Board. “Greater confidence was most evident among consumers under age 35, and consumers earning incomes over $35,000. Nonetheless, the expectations gauge continued to signal consumers anticipating a recession at some point over the next 6 to 12 months.”

The Dow Jones Industrial Average closed 212 points higher. The S&P 500 closed 49 points higher. The NASDAQ was up 219 points.

West Texas Intermediate Crude Oil futures (CME) closed $1.29 to $1.67 lower through the front six contracts.

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Fed cattle supplies are the snuggest in three years, says Stephen Koontz, agricultural economist at Colorado State University, reflecting on Friday’s monthly Cattle on Feed report.

In the latest In the Cattle Markets, Koontz notes cattle on feed more than 150 days were less than the previous month and the prior three years, the same for cattle on feed for 90 days or more.

“Cattle on feed inventories continue to tighten from the peaks in 2022,” Koontz says. “The beginning of June saw an inventory of 11.552 million, roughly even with the beginning of June 2018. And there will be more and more of this to come with the level of heifer and beef cow slaughter. Beef cow slaughter remains down considerably from the prior year, but my assessment is that the industry is finally showing a neutral position and not liquidating nor rebuilding.”

Koontz also points to evidence of continued strong beef demand illustrated by the muted reaction of Live Cattle futures to the Cattle on Feed report, which indicated feedlot placements were about 3% more than expected.

“The boxed beef composite value has rallied to almost $340/cwt., whereas it spent all of 2022 below $295 and much of that year between $255-$275,” Koontz explains. “There is clearly strong beef demand supporting the market. We also see this in a seasonally strong Choice-Select spread.”

Although Friday’s Cattle on Feed report seemed to bring pressure early in the session, the reaction faded quickly as the day progressed in Cattle futures amid light trade.

Feeder Cattle futures closed an average of 61¢ higher, except for an average of 17¢ lower in the front three contracts.

Live Cattle futures closed narrowly mixed, from an average of 29¢ lower to an average of 13¢ higher.

Negotiated cash fed cattle trade was at a standstill in all regions through Monday afternoon, according to the Agricultural Marketing Service.

Last week, live prices were $180/cwt. in the Southern Plains, $182-$185 in Nebraska and $184-$185 in the western Corn Belt. Dressed prices were $290.

The weighted average five-area direct fed steer price last week was $2.35 lower on a live basis at $182.57/cwt. The average fed steer price in the beef was $6.26 lower at $289.81.

Choice boxed beef cutout value was 97¢ lower Monday afternoon at $333.04/cwt. Select was 29¢ lower at $299.67/cwt.

Grain and Soybean futures closed mostly higher Monday, balancing weekend rains across much of the Corn Belt with geopolitical tensions in Russia.

Corn futures closed mostly 1¢ to 5¢ higher, except for mostly fractionally mixed from near Sep through near May.

Soybean futures closed 12¢ to 26¢ higher through Aug ‘24 and then mostly 9¢ to 12¢ higher. 

KC HRW Wheat closed mostly 5¢ higher.

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Major U.S. financial indices softened Monday with most pressure from tech stocks.

The Dow Jones Industrial Average closed 12 points lower. The S&P 500 closed 19 points lower. The NASDAQ was down 156 points.

West Texas Intermediate Crude Oil futures (CME) closed 21¢ to 27¢ higher through the front six contracts.

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Frozen beef stocks continued to decline last month, according to the latest USDA Cold Storage report. Beef in cold storage May 31 was 6% less than the previous month and 20% less than a year earlier.

Frozen pork supplies were 7% less than the previous month and down 4% year over year.

Total red meat supplies in freezers were 7% less than the previous month and 11% less than the previous year.

Total frozen poultry supplies were up 2% from the previous month and 9% higher year over year.

Weather forecasts continued to whipsaw grain markets on Friday with Corn and Soybean futures closing sharply lower on the wet weekend outlook for the Corn Belt, as well as overbought conditions.

Corn futures closed mostly 22¢ to 32¢ lower.

Soybean futures closed 18¢ to 29¢ lower through Jly ‘24 (except for 6¢ and 14¢ lower in the front two contracts) and then mostly 6¢ to 8¢ lower.

KC HRW Wheat closed mostly 10¢ to 18¢ lower.

Feeder Cattle futures surged an average of $2.80 higher Friday ($2.20 to $3.27 higher) as Corn futures slid lower.

Live Cattle futures tread water with pressure from the week’s softer cash trade and lower wholesale beef prices. They closed an average of 17¢ higher, except for an average of 23¢ lower in the front three contracts.

Negotiated cash fed cattle trade was inactive on light demand in all regions through Friday afternoon, with too few transactions to trend in any region, according to the Agricultural Marketing Service.

For the week, live prices were $2 lower in the Southern Plains at $180/cwt., $3-$4 lower in Nebraska at $182-$185 and $2-$3 lower in the western Corn Belt at $184-$185. Dressed prices were $6 lower in Nebraska at $290 and $6-$10 lower in the western Corn Belt at $290.

Choice boxed beef cutout value was 46¢ lower Friday afternoon at $334.01/cwt. Select was $3.84 lower at $299.96/cwt. The Choice Select spread was the highest since last October at $34.05.

Estimated total cattle slaughter last week of 649,000 head was 15,000 head more than the previous week, but 16,000 head fewer than the same week last year. Year-to-date estimated total cattle slaughter of 15.6. million head was 587,000 head less (-3.6%) that the same time last year. Year-to-date estimated beef production of 12.8 billion pounds was 638 million pounds less (-4.7%).

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Major U.S. financial indices slid Friday as investors appeared more concerned about domestic and global economic growth.

The Dow Jones Industrial Average closed 219 points lower. The S&P 500 closed 33 points lower. The NASDAQ was down 138 points.

West Texas Intermediate Crude Oil futures (CME) closed 17¢ to 35¢ lower through the front six contracts.

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Although bullish supply fundamentals remain, markets could view Friday’s monthly Cattle on Feed report as slightly bearish with May placements about 3% more than pre-report estimates. Placements in May of 1.9 million head were 86,000 more (+4.6%) year over year. That’s for feedlots with 1,000 head or more capacity.

In terms of placement weights, 34% went on feed weighing 699 lbs. or less, 51% weighing 700-899 lbs. and 15% weighing 900 lbs. or more.

Marketing in May of 1.9 million head were 1.7% more than last year, about even with expectations.

Cattle on feed June 1 of 11.5 million head were 2.9% less than the previous year. That was 0.5% more than estimates ahead of the report.

Cattle futures found some traction Thursday with a let up in Corn futures and perhaps some short covering.

Live Cattle futures closed an average of $1.24 higher (40¢ to $1.72 higher).

Feeder Cattle futures closed an average of $3.07 higher ($2.55 to $3.45 higher).

Corn and Soybean futures took a breather Thursday from the recent steep run-up.

Corn futures closed mostly 7¢ to 8¢ lower.

Soybean futures closed 14¢ to 40¢ lower through Sep ‘24 and then mostly 6¢ lower.

KC HRW Wheat closed mostly 5¢ to 6¢ higher.

Negotiated cash fed cattle trade ranged from limited on light demand to mostly inactive on very light demand through Thursday afternoon, with too few transactions to trend in any region, according to the Agricultural Marketing Service.

So far this week, live prices are $2 lower in the Southern Plains at $180/cwt., $3-$4 lower in Nebraska at $182-$185 and $2-$3 lower in the western Corn Belt at $184-$185.

Last week, dressed prices were $296 in Nebraska and $294-$300 in the western Corn Belt.

Choice boxed beef cutout value was 22¢ higher Thursday afternoon at $334.47/cwt. Select was 45¢ lower at $303.80/cwt

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Major U.S. financial indices firmed Thursday with the most support for tech stocks.

The Dow Jones Industrial Average closed 4 points lower. The S&P 500 closed 16 points higher. The NASDAQ was up 128 points.

West Texas Intermediate Crude Oil futures (CME) closed $2.39 to $3.02 lower through the front six contracts, pressured by central banks around the world raising interest rates, as well as concerns about China’s economic growth and demand.

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Current and recent U.S. Drought Monitors paint a clear picture behind the drought premiums added to grain and soybean futures.

For the week beginning June 20, drought existed across 58.5% of the Midwest, compared to 48.7% a week earlier and 32.1% two weeks earlier.

For the same week, 64% of U.S. corn production was in drought areas, compared to 57% a week earlier and 45% two weeks earlier. The same week last year, drought covered 17% of production.

Likewise, 57% of U.S. soybean production was affected by drought the week beginning June 20, compared to 51% a week earlier, 39% two weeks earlier and 11% a year earlier.

For the same week, drought encompassed 27.1% of the Continental U.S. versus 25.0% a week earlier and 34.5% two weeks earlier. Forty percent of U.S. cattle were in areas affected by drought.