Cash fed cattle trade finished the week $2-$4 lower at mostly $106-$107 on a live basis. Dressed sales were $5-$7 less at $168-$170.
Choice boxed beef cutout value was 43¢ lower Friday afternoon at $191.32/cwt. Select was 36¢ lower at $188.30.
Early support faded in Cattle futures, though they still closed mostly higher.
Except for unchanged in spot Aug and 92¢ higher at the back, Live Cattle futures closed an average of 25¢ higher (5¢ to 57¢ higher).
After 22¢ lower in spot Aug, Feeder Cattle futures closed an average of 71¢ higher (55¢ to $1.02 higher).
If anything, Friday’s monthly Cattle on Feed Report (see below) should be neutral to supportive, with fewer July placements than many analysts anticipated.
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Major U.S. financial indices basically tread water on Friday, but mostly to the upside, buoyed by news that President Trump will begin beating the drum for tax reform this week. Support also came from news out of the closely watched Federal Reserve-sponsored economic policy symposium in Jackson Hole. It included Federal Reserve Chair, Janet Yellen, explaining that financial stability has risen from the ashes of the Great Recession and the financial crisis that preceded it a decade ago.
The Dow Jones Industrial Average closed 30 points higher. The S&P 500 closed 4 points higher. The NASDAQ closed 5 points lower.
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Cattle feeders placed fewer cattle on feed in July than many analysts anticipated, according to the monthly Cattle on Feed report from USDA on Friday.
Specifically, July placements of 1.615 million head were 2.7% more than the previous year. Pre-report estimates were generally in the area of 6.0% higher.
On the other hand, the composition of placements—percentage of placements by weight—is similar to a month earlier, especially on the heavier side. There were 36.9% placed at weights lighter than 700 lbs. in July (595,000 head), compared to 39% in June (690,000 head). There were 39.3% placed on feed at weights heavier than 800 lbs. in July (635,000 head), compared to 36.2% in June (650,000 head).
Marketings in July (1.784 million head) were 4.1% more than the previous year, in line with pre-report estimates.
The on-feed total Aug. 1 of 10.604 million head was 4.3% more than the same period a year ago, which reflected estimates ahead of the report.