Cash fed cattle trade was yet to develop to any degree through Wednesday afternoon. Fat auctions in the western Corn Belt provided divergent signals.
At Sioux Falls Regional in South Dakota, slaughter steers and heifers sold $5-$7/cwt. lower than the previous week. For instance, Choice 2-3 steers (857 head) weighing an average of 1,420 lbs. brought $111.94. That’s $3-$4 lower than last week’s country trade in the region.
On the other hand, with a significantly narrower offering, Choice steers and heifers brought $118.00 to $120.75 at Tama, IA.
Although closing well off of session highs, Cattle futures firmed Wednesday, helped along by the latest rebound in Lean Hogs.
Live Cattle futures closed an average of 41¢ higher.
Feeder Cattle futures closed an average of 22¢ higher, except for 42¢ lower in spot Aug and 7¢ lower in Sep.
Wholesale beef values were steady to firm on moderate to fairly good demand and moderate offerings, according to the Agricultural Marketing Service.
Choice boxed beef cutout value was 71¢ higher Wednesday afternoon at $216.49/cwt. Select was 6¢ higher at $192.71.
Corn futures closed mostly 1¢ to 2¢ higher.
Soybean futures closed fractionally higher to 1¢ higher.
Major U.S. financial indices closed little changed Wednesday after a volatile session in which the Dow was down almost 600 points. Continued angst over the trade impasse with China seemed to be the most prevalent driver.
West Texas Intermediate crude oil futures on the CME closed $2.49 to $2.58 lower through the front six contracts. Week to week, those contracts closed an average of $7.59 lower.
The Dow Jones Industrial Average closed 22 points lower. The S&P 500 closed 2 points higher. The NASDAQ was up 29 points.
U.S. pasture value averaged $1,400/acre this year, according to the latest Land Values Summary released this week by USDA’s National Agricultural Statistics Service (NASS). That’s up $30 (+2.2%) from last year.
Regionally, pasture value was highest in the Southeast with a combined average of $4,180 per acre for Alabama, Florida, Georgia and South Carolina. It was lowest in the Mountain States at an average of $683/acre, followed by a combined average of $1,090/acre for the Northern Plains states of Kansas, Nebraska, North Dakota and South Dakota.
Pasture value increased each year since 2014, when the average value was $1,290/acre, according to Agricultural Land Values Final Estimates 2014-2018 from NASS.
By way of reference, U.S. cropland value this year averaged $4,100/acre, which was $50/acre more (+1.2%) than last year. Between 2014 and this year, average cropland value ranged from $4,030/acre in 2017 to $4,100 this year and in 2015.