Feeder Cattle futures closed higher Monday in anticipation of the USDA Cattle report (see below).
Feeder Cattle futures closed an average of $1.36 higher (93¢ to $2.23 higher).
Live Cattle futures closed mixed, from 33¢ down to 45¢ higher.
Negotiated cash fed cattle trade was at a standstill through Tuesday afternoon, according to the Agricultural Marketing Service.
Last week, live prices were $156/cwt. in the Southern Plains, $153-$156 in Nebraska and $152-$157 in the western Corn Belt. Dressed prices were $248.
Choice boxed beef cutout value was $2.01 lower Tuesday afternoon at $266.09/cwt. Select was $1.40 higher at $252.92/cwt.
Corn futures closed mixed, unchanged to down 4¢ through Sept. 23, then up 1¢ to 3¢.
KC HRW Wheat closed mostly down 2¢.
Soybean futures closed mixed, up fractionally to 2¢ higher in spot March and May respectively, then mostly down 1¢ to 4¢.
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Major U.S. financial indices closed higher Tuesday with signs of continuing cooling inflation. The housing market saw prices drop 2.5% from June highs and unemployment costs rose but less than expected at the end of 2022.
The Dow Jones Industrial Average closed 369 points higher. The S&P 500 closed 59 points higher. The NASDAQ was up 191 points.
West Texas Intermediate Crude Oil futures (CME) closed 97¢ to $1.07 higher through the front six contracts.
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As expected, beef cattle numbers were significantly fewer at the beginning of this year compared to a year earlier, according to USDA’s Cattle report that came out Tuesday afternoon. As of Jan. 1, year over year:
The nation’s beef cow inventory of 28.92 million head was 1.06 million fewer (-3.5%). That is among the fewest recorded in the United States.
Beef cow-calf states with 5% to 7% year-over year declines included: Kansas (-7%); Kentucky (-7%); Nebraska (-5%); North Dakota (-6%); Oklahoma (-7%).
Beef replacement heifers of 5.16 million head were 317,800 head fewer, down 5.8%.
Cattle on feed of 14.16 million head were down 537, 000 head (-3.6%).
The calculated number of feeder cattle outside of feedlots of 25.27 million head was 722,900 fewer (-2.8%).
Total cattle and calves in the U.S. of 89.27 million head were 2.80 million head fewer (-3.04%).