Negotiated cash fed cattle trade was inactive on light demand in all major cattle feeding regions through Tuesday afternoon, according to the Agricultural Marketing Service.
Last week, FOB live prices were $7-$8 higher in the Texas Panhandle at $245-$246/cwt., mostly $8 higher in Kansas at mainly $246 and $10 higher in the North at $245. Dressed delivered prices were mostly $13 higher at mainly $385.
Choice boxed beef cutout value was $5.30 lower Tuesday afternoon at $382.74/cwt. Select was $2.04 lower at $386.33.
Cattle futures pulled back Tuesday with pressure from iffy outside markets, declining wholesale beef values and likely profit taking.
Toward the close, Live Cattle futures were an average of $1.14 lower. Feeder Cattle futures were an average of $3.88 lower.
Corn and Soybeans trended lower Tuesday on increased risk aversion based on President Trump’s escalating threats against Iran.
Toward the close, and through near Dec contracts, Kansas City HRW Wheat futures were 1¢ lower. Corn futures were 5¢ lower. Soybean futures were 7¢ to 9¢ lower.
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Major U.S. financial indices closed narrowly mixed Tuesday after pressure during most of the session tied to wonderment about a potential ceasefire between the U.S. and Iran.
The Dow Jones Industrial Average closed 85 points lower. The S&P 500 closed 5 points higher. The NASDAQ was up 21 points.
Through mid-afternoon West Texas Intermediate Crude Oil futures (CME) were 17¢ higher to $1.15 lower through the front six contracts.
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Longer-term optimism helped boost agricultural producer sentiment in March, according to the Purdue University/CME Group Ag Economy Barometer. The overall index increased 11 points from the previous month to 127. The Futures Expectations Index rose 14 points but remains lower year over year. The Current Conditions Index increased 6 points. The survey was conducted March 16-20.
“While producers are feeling more optimistic about the future, there’s still a noticeable gap between short-term challenges and long-term confidence,” says Michael Langemeier, the barometer’s principal investigator and director of Purdue’s Center for Commercial Agriculture. “Longer-term optimism is supported by stronger expectations for farmland values and the broader economy, though livestock producers remain notably more optimistic than crop producers.”
Producers reported mixed financial conditions in March, with 18% indicating their operations were better off than a year ago. Expectations for the year ahead continue to be cautiously optimistic, with 20% of respondents anticipating improved financial performance, compared with 18% expecting worse financial performance over the next 12 months. The Farm Capital Investment Index edged up 3 points to 53, but plans to expand machinery purchases remain limited, with only 4% of producers planning increases.