Negotiated cash fed cattle trade continued steady with last week in the Southern Plains on Wednesday at $114/cwt., with limited trade and light demand in the Texas Panhandle; limited trade on light to moderate demand in Kansas.
Live trade in Nebraska was light on light to moderate demand at $113 to $114, which was steady with last week, but steady to $1 lower than the previous day. Dressed trade on Tuesday was mainly steady at $180.
In Colorado, live trade was steady with the prior day and week at $114, with slow trade and light demand.
Trade was limited on light demand in the western Corn Belt with too few transactions to trend. Live prices there last week were at $112 to $114; dressed trade at $180.
Cattle feeders offered 1,296 head (9 lots) in Central Stockyards’ weekly Fed Cattle Exchange auction. All were from the Southern Plains, except for one lot in Nebraska. The reserve price was $114/cwt. on all but one lot. None sold. The highest bids were at $113.75.
Cattle futures softened Wednesday, challenged by steady rather than higher cash prices and dwindling wholesale beef values.
Live Cattle futures closed an average of 49¢ lower, except for 30¢ higher in the back contract.
Feeder Cattle futures closed an average of 27¢ lower, except for unchanged in Nov.
Choice boxed beef cutout value was $1.74 lower Wednesday afternoon at $227.29/cwt. Select was $3.98 lower at $219.82.
Grain futures closed lower on Wednesday, amid likely profit taking and with the static to slightly bearish World Agricultural Supply and Demand Estimates.
Corn futures closed mostly 10¢ to 14¢ lower through the front three contracts, and then mostly 2¢ to 4¢ lower.
Soybean futures closed 22¢ to 30¢ lower through Jan ‘22, and then mostly 10¢ to 15¢ lower.
Except for a slight decline in the tech-heavy NASDAQ, major U.S. financial indices closed higher Wednesday, buoyed by a decline in Treasury yield rates and House passage of the Covid-19 relief bill.
The Dow Jones Industrial Average closed 464 points higher. The S&P 500 closed 23 points higher. The NASDAQ was down 4 points.
Severe winter weather last month stalled the slow progress restaurants were making in recovering business from the pandemic.
Year-over-year major restaurant chain customer transactions declined by 13% in February, compared to a 9% decline in January, according to the NPD Group (NPD) CREST®Performance Alerts which provides a rapid weekly view of chain-specific transactions and share trends for 75 quick service, fast casual, midscale, and casual dining chains representing 53% of the commercial restaurant traffic in U.S.
Customer transactions at major restaurant chains in Texas for the month of February declined by 46% compared to year ago, as record low cold temperatures, snow and ice disrupted travel and rocked the state’s power grid.
Overall, customer transactions at major full-service restaurant chains, which have been challenged throughout the pandemic by mandated dine-in restrictions and shutdowns, decreased by 33% in February versus a year earlier. Major quick service restaurant chains, which represent the bulk of the restaurant industry transactions, were 12% less than the same time last year.
“Aside from any unforeseen events or severe weather in major parts of the country, we should see customer transaction declines improving in the months to come,” says David Portalatin, NPD food industry advisor. “The next several months will help us plot the course for the U.S. restaurant industry’s recovery.”