Feeder Cattle futures maintained upward momentum as Corn futures continued to decline.
Feeder Cattle futures closed an average of $1.32 higher.
Live Cattle futures closed an average of 75¢ higher through Feb ‘24 (32¢ to $1.37 higher) and then unchanged to an average of 48¢ lower.
Negotiated cash fed cattle trade ranged from mostly inactive on light demand to a standstill through Wednesday afternoon, according to the Agricultural Marketing Service.
So far this week, live sales in Kansas are $2 lower at $178/cwt.
Last week, live prices were $180/cwt. in the Southern Plains $182-$185 in Nebraska and $184-$185 in the western Corn Belt. Dressed prices were $290.
Choice boxed beef cutout value was $1.33 lower Wednesday afternoon at $327.90/cwt. Select was $1.75 lower at $296.68/cwt.
More rain forecast for the Corn Belt took grain and Soybean futures lower for the second consecutive session.
Corn futures closed 20¢ to 33¢ lower through Jly ‘24 and then 3¢ to 10¢ lower.
Soybean futures closed 28¢ to 44¢ lower through Jan ‘24 and then mostly 22¢ to 24¢ lower.
KC HRW Wheat closed 18¢ to 33¢ lower.
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Major U.S. financial indices closed mixed Wednesday with pressure the Fed emphasizing more future interest rate hikes are likely in the picture.
The Dow Jones Industrial Average closed 33 points lower. The S&P 500 closed 1 point lower. The NASDAQ was up 36 points.
West Texas Intermediate Crude Oil futures (CME) closed $1.61 to $1.86 higher through the front six contracts.
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Many meat and food item prices continue to increase but at a more moderate pace than last year, according to the latest Food Price Outlook from USDA’s Economic Research Service.
For instance, food at home prices were 0.1% higher month to month in May and 5.8% higher year over year. Year-to-date prices were 4.7% more than the same time last year when food at home prices were 11.4% more year over year.
More specifically, beef and veal prices increased 1.5% month to month in May and 1.0% year over year. Year-to-date prices were 0.1% less than the same time last year when prices were 5.3% higher year over year.
“The Choice beef price (May) topped $8.08 per pound while the all-fresh beef retail price exceeded $7.50 per pound,” says Andrew P. Griffith, agricultural economist at the University of Tennessee in his weekly market comments. “The Choice beef price is a historic high and represents a $0.23 per pound increase from April. The all-fresh beef retail price for May was $0.18 per pound higher than April and the third highest monthly price on record and the highest it has been since November 2021.”
By way of contrast, pork prices were 0.1% higher month to month but 2.9% lower year over year. Year-to-date, pork prices were down 1.9%. Poultry prices were 0.2% higher month to month and 2.1% higher year over year. Year-to-date poultry prices were up 2.2%.