Cattle futures and equity markets were closed Monday, in observance of Martin Luther King, Jr. Day.
Wholesale beef values were firm on moderate demand and light offerings, according to the Agricultural Marketing Service.
Choice boxed beef cutout value was 47¢ higher Monday afternoon at $214.64/cwt. Select was 73¢ higher at $213.48.
Despite last year’s many weather challenges, Derrell Peel, Extension livestock marketing specialist at Oklahoma State University notes that total Dec. 1 hay stocks were 6.9% more year over year at 84.488 million tons. However, he adds the total is 5.4% less than the average for 2014-18.
“Hay stocks were generally up year over year in the Western, Mountain and Plains states, and the Corn Belt, but down in the Great Lakes, Appalachian and Eastern regions,” Peel explains, in his weekly market comments. “Missouri had the largest hay stocks and showed the most increase year over year with stocks up 64.3%, the highest level for the state since 2009. Among the top 10 states for hay stocks, Kentucky, Nebraska, Oklahoma and Tennessee had year over year declines.
According to recent USDA data, Peel says total production of all hay was 128.864 million tons, which was 4.3% more year over year—consisting of 42.6% alfalfa hay and 57.4% other hay. Total hay production was 2.4% below the 2014-2018 average.
“Total hay supplies appear to be generally adequate, although quality may be an issue in some instances,” Peel says. “However, average hay prices are projected to increase 2-4% over the previous crop year. Regionally, the tightest supplies appear to be in the Southeast, Appalachian and Great Lakes regions. Nebraska stands out as a major hay state with decreased production and stocks but surrounded on all sides by states with increased year over year hay production.”