Negotiated cash fed cattle trade was moderate on moderate demand in the Southern Plains through Thursday afternoon, according to the Agricultural Marketing Service (AMS).
Live sales in the Texas Panhandle were $3 higher at $140 and $3-$4 higher in Kansas at $139-$140. Earlier in the week, live trade was $2-$3 higher in Nebraska at $138-$140 and in the western Corn Belt at $140. Dressed trade was $4 higher at $222.
Cattle futures closed mixed to a touch lower Thursday on likely profit taking from the recent run-up.
Feeder Cattle futures closed an average of 21¢ lower (5¢ to 55¢).
Live Cattle futures closed mixed, from an average of 16¢ lower to an average of 33¢ higher.
Choice Boxed beef cutout value was $1.69 lower Thursday afternoon at $281.46/cwt. Select was $3.10 lower at $276.47.
Soybean futures closed mostly fractionally higher to 3¢ higher.
Corn futures closed 1¢ to 5¢ lower.
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Tech stocks sent major U.S. financial indices on downward plunge Thursday. Meta stock, the parent company of Facebook fell 26% on missed fourth-quarter earnings.
Spot Crude oil futures (WTI-CME) added pressure as it rose to more than $90 for the first time since 2014 amid ongoing geopolitical turmoil.
The Dow Jones Industrial Average closed 518 points lower. The S&P 500 closed 112 points lower. The NASDAQ was down 539 points.
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Wholesale beef demand will likely slow in the coming year, but cutout value should hold steady near an average of $280/cwt., says Kevin Good, CattleFax vice president of industry relations and analysis.
During the CattleFax Outlook Seminar in Houston this week, Good explained global protein demand continues to rise, and U.S. beef exports are expected to grow by 5% this year to 3.7 billion lbs., supported in part by tightening global protein supplies.
Likewise, CattleFax sees continued domestic consumer beef demand strength this year.
Good explains inflation is also driving beef prices to a higher trading range. The USDA All-Fresh Beef Retail Price should average near $7.15/lb. this year, ultimately resulting in more margin in the system.
While U.S. median household income increased last year, historically high inflation is affecting low-to-middle income Americans the most, Good says.