Cattle Current Daily—Mar. 27. 2024

Cattle Current Daily—Mar. 27. 2024

Cattle futures sank Tuesday amid uncertainty spun by negative and potentially negative news.

Closest to home, Monday’s announced confirmation of highly pathogenic avian influenza (HPAI) in dairy cattle from herds in Kansas and Texas likely drew the attention of funds and algorithms. The infections appear to be tied to wild birds. There is no threat to the milk or food supply, according to USDA.

The National Cattlemen’s Beef Association (NCBA) issued a statement also emphasizing HPAI has not been detected in beef cattle. However, NCBA encourages producers to implement enhanced biosecurity measures on their farms and ranches to help protect their herds.”

For broader context, according to NCBA, “Detections of avian influenza in birds are common in the United States. While it is uncommon for HPAI to affect mammals, USDA’s Animal and Plant Health Inspection Service has been tracking some limited detections of HPAI in mammalian wildlife for many years in the United States.”

So, the fundamental consequences of the HPAI finding depend on consumers.

Live Cattle closed an average of $3.22 lower.

Feeder Cattle futures closed an average of $4.48 lower ($1.72 to $5.37 lower).

Choice boxed beef cutout value was 20¢ higher Tuesday afternoon at $311.09/cwt. Select was $1.70 lower  at $300.26/cwt.

There was no AMS cash fed cattle report available at press time.

Last week, FOB live prices were $188/cwt. in the Southern Plains, $190 in Nebraska and $190-$191 in the western Corn Belt. Dressed delivered prices were $302.

******************************

Grain and Soybean futures closed lower Tuesday with pressure from apparent farmer selling, month-end and quarter-end positioning as well as positioning ahead of Thursday’s Prospective Plantings and Grain Stocks report from USDA.

There was also likely some knee-jerk selling related to the closure of Baltimore Harbor after a cargo ship struck and caused the collapse of Francis Scott Key Bridge. Maryland Governor, Wes Moore, declared a state of emergency and vessel traffic into and out of the harbor was suspended indefinitely. It’s not that Baltimore Harbor is a huge point of arrival or departure for agricultural commodities. The concern is how the closure of a busy port for other goods could impact other supply chains which could ultimately impact agricultural commodities.

Corn futures closed mostly 4¢ to 6¢ lower.

KC HRW Wheat futures closed mostly 7¢ to 12¢ lower.

Soybean futures closed 7¢ to 10¢ lower.

******************************

Major U.S. financial indices eased lower Tuesday.

The Dow Jones Industrial Average closed 31 points lower. The S&P 500 closed 14 points lower. The NASDAQ was down 68 points.

West Texas Intermediate Crude Oil futures (CME) closed 25¢ to 34¢ lower through the front six contracts.

2024-03-26T19:04:39-06:00

This Is A Custom Widget

This Sliding Bar can be switched on or off in theme options, and can take any widget you throw at it or even fill it with your custom HTML Code. Its perfect for grabbing the attention of your viewers. Choose between 1, 2, 3 or 4 columns, set the background color, widget divider color, activate transparency, a top border or fully disable it on desktop and mobile.

This Is A Custom Widget

This Sliding Bar can be switched on or off in theme options, and can take any widget you throw at it or even fill it with your custom HTML Code. Its perfect for grabbing the attention of your viewers. Choose between 1, 2, 3 or 4 columns, set the background color, widget divider color, activate transparency, a top border or fully disable it on desktop and mobile.

This Is A Custom Widget

This Sliding Bar can be switched on or off in theme options, and can take any widget you throw at it or even fill it with your custom HTML Code. Its perfect for grabbing the attention of your viewers. Choose between 1, 2, 3 or 4 columns, set the background color, widget divider color, activate transparency, a top border or fully disable it on desktop and mobile.

This Is A Custom Widget

This Sliding Bar can be switched on or off in theme options, and can take any widget you throw at it or even fill it with your custom HTML Code. Its perfect for grabbing the attention of your viewers. Choose between 1, 2, 3 or 4 columns, set the background color, widget divider color, activate transparency, a top border or fully disable it on desktop and mobile.