Negotiated cash fed cattle trade was light to moderate in Kansas and Colorado through Tuesday afternoon was $1 lower than last week at $126/cwt., as some cattle feeders likely were taking advantage of the basis. Last week’s trade was $3-$4 higher at $125-$127/cwt., mostly $127. Dressed trade was $5 higher at $200. Though lower on the day, the price level speaks to currently tight front-end supplies, helped along by the recently strength in wholesale beef values.
Choice boxed beef cutout value was 58 higher Tuesday afternoon at $209.69. Select was 24 higher at $204.37. That’s $2.84 higher week to week for Choice and $4.21 higher for Select.
Live Cattle Futures slowed and average of 85¢ lower in the front two contracts and then narrowly mixed from 30¢ lower to 22¢ higher.
Feeder Cattle futures closed an average of 47¢ higher (17¢ higher in spot Mar to 95¢ higher.
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Major U.S. financial indices closed sharply lower on Tuesday. Profit taking seemed to be the order of the day with rising treasury yields hinting at higher inflation, and with wonderments about whether the current Fed meeting will lead to another hike in interest rates.
The Dow Jones Industrial Average closed 362 points lower; that’s 539 points lower in the last two sessions. The S&P 500 closed 31 points lower; 64 points lower in the last two days; 114 points lower in the last two sessions.