Negotiated cash fed cattle trade was limited on very light demand in Nebraska and at a standstill in all other major feeding regions through Monday afternoon, according to the Agricultural Marketing Service.
Cattle futures edged higher Monday with stronger wholesale beef prices and optimism for pushing cash prices higher this week.
Live Cattle futures closed an average of 31¢ higher.
Feeder Cattle futures closed an average of 53¢ higher, from 7¢ higher in spot Aug to $1.05 higher at the back.
Choice boxed beef cutout value was $2.54 higher Money afternoon at $281.00/cwt. Select was $4.19 higher at $263.38/cwt.
CME Feeder Cattle Index $1.54 higher at $155.58
Rallying wheat futures led grains higher Monday.
Corn futures closed mostly 10¢ to 14¢ higher.
Soybean futures closed mostly 4¢ to 6¢ higher through Aug ‘22, and then mostly 11¢ to 17¢ higher.
Major U.S. financial indices closed mixed on Monday as manufacturing growth slowed and worries about economic growth, combined with supply issues and the Delta Covid-19 variant’s continued spread all weighed on stocks.
The Dow Jones Industrial Average closed 97 points lower. The S&P 500 closed 8 points lower. The NASDAQ was up 8 points.
“Cattle carcass weights will rise seasonally the remainder of the year but are expected to remain lower year over year,” says Derrell Peel, Extension livestock marketing specialist at Oklahoma State University, in his weekly market comments. “Lower steer and heifer carcass weights likely reflect several influences, including feedlots becoming more current in marketings, higher feed prices and perhaps a return to longer-term carcass weight trends. Beef production for the remainder of 2021 is predicted to be 4-5% lower year over year as a result of lower slaughter totals and lighter carcass weights.”
For the first 28 weeks this year, Peel says average weekly yearling slaughter averaged 501,392 head, fractionally higher than the same period last year.
“However, he adds, Monday-Friday slaughter thus far in 2021 has averaged 2.7% lower than 2019 and is covered by a 31.0% increase in Saturday slaughter of steers and heifers,” Peel says. “The 2021 average Saturday yearling slaughter total is 50,430 head compared to 38,492 head in 2019. Saturday slaughter accounts for 10.4% of total yearling slaughter in 2021 compared to 7.6% of slaughter for the same period in 2019.”