Cattle Current Daily—March 20, 2023

Cattle Current Daily—March 20, 2023

Cattle futures closed mixed Friday amid some likely positioning ahead of the ultimately friendly Cattle on Feed report (see below), lower cash fed cattle prices and uncertain outside markets.

Feeder Cattle futures closed mixed, from an average of 49¢ lower in the front three contracts to an average of 16¢ higher. They closed an average of $1.84 lower week to week on Friday, giving back about half of the previous week’s gains.

Live Cattle futures closed narrowly mixed, from an average of 22¢ lower in the front three contracts to an average of 6¢ higher.

Corn futures closed mostly fractionally higher to 2¢ higher.

KC HRW Wheat closed 10¢ to 16¢ higher through May ‘24 and then 6¢ to 7¢ higher.

Soybean futures closed 8¢ to 15¢ lower, pressured by declining Oil futures.

Negotiated cash fed cattle trade was mostly limited on light demand in all regions through Friday afternoon, according to the Agricultural Marketing Service.

For the week, live prices were mainly $1 lower in the Southern Plain and Nebraska at $164/cwt., and steady to $2.50 lower in the western Corn Belt at $164.00-$164.50. Dressed prices were $1 lower in Nebraska at $264 and $1-$2 lower in the western Corn Belt at $263-$264.

Choice boxed beef cutout value was 60¢ lower Friday afternoon at $283.35/cwt. Select was 68¢ lower at $272.44/cwt.

Estimated total cattle slaughter last week of 631,000 head was 3,000 head fewer than the previous week and 5,000 head fewer than the same week last year. Year-to-date estimated total cattle slaughter of 6.1 million head was 169,000 head fewer (-2.4%). Estimated year-to date beef production of 5.7 billion lbs. was 250.6 million pounds less (-4.2%) less than the same time last year.

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

So much for market confidence provided by the infusion of uninsured deposits to First Republic Bank last Thursday. Major U.S. financial indices sank lower again on Friday as investors grappled with the recent spate of banking woes, tied in part to devalued bond assets as interest rates continue higher.

The Dow Jones Industrial Average closed 384 points lower. The S&P 500 closed 43 points lower. The NASDAQ was down 86 points.

West Texas Intermediate Crude Oil futures (CME) closed $1.29 to $1.61 lower through the front six contracts. 

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

Markets likely will view USDA’s monthly Cattle on Feed Report as neutral to a touch bullish with about 1% fewer placements than analysts expected ahead of the report, but also slightly fewer marketings. The report is for feedlots with 1,000 head or more one-time capacity.

Placements in February of 1.73 million head were 134,000 head less (-7.2%) than last year. In terms of placements weights, 38% went on feed weighing 699 pounds or less, 51% weighing 700-899 pounds and 10% weighing 900 pounds or more.

Marketings in February of 1.74 million head were 90,000 head fewer (-4.9%) than a year earlier.

Cattle on feed March 1 of 11.65 million head were 548,000 head fewer (-4.5%) than the same time last year.

2023-03-19T14:15:59-05:00

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.