Cattle Current Daily—May 27 and 28, 2024

Cattle Current Daily—May 27 and 28, 2024

Negotiated cash fed cattle trade ranged from slow on light demand to mostly inactive on light demand through Friday afternoon, with too few transactions to trend, according to the Agricultural Marketing Service.

For the week, FOB live prices were $1 higher in the Southern Plains at $187/cwt., mainly $2 higher in Nebraska at $192 (some up to $193.50) and mostly $2 higher in the western Corn Belt at $192 (some up to $193).

Dressed delivered prices in Nebraska were $4-$6 higher at mostly $304 (some up to $305). Dressed delivered prices in the western Corn Belt the previous week were mainly $300 (some up to $306).

Choice boxed beef cutout value was 61¢ higher Friday afternoon at $310.45/cwt. Select was $1.64 higher at $301.72/cwt.

Estimated cattle slaughter last week of 607,000 head was 9,000 more than the previous week but 18,000 head fewer than the same week last year. Year-to-date estimate total cattle slaughter of 12.6 million head was 594,00 head fewer than (-4.5%) than the same period a year earlier. Estimated year-to-date beef production of 10.6 billion pounds was 213.9 million pounds less (-2.0%).

Cattle futures edged mostly lower Friday ahead of the long holiday weekend and the monthly Cattle on Feed report (see below).

Live Cattle futures closed an average of 13¢ lower, except for an average of 11¢ higher in the front two contracts. Week to week on Friday, they were an average of $1.76 higher.

Feeder Cattle futures closed an average of 72¢ lower, except for 40¢ higher in newly minted away-May. They were an average of $1.46 higher week to week on Friday.

Turning to row crops, Grain futures closed higher Friday with traders maintaining a weather premium.

KC HRW Wheat futures closed 8¢ to 10¢ higher through May ’25 and then mostly 4¢ to 6¢ higher. Corn futures closed 1¢ to 2¢ higher. Soybean futures closed 2¢ to 8¢ higher through Jly ’25 and then mostly 1¢ lower to 1¢ higher.

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Major U.S. financial indices closed higher Friday, led by tech stocks.

The Dow Jones Industrial Average closed 4 points higher. The S&P 500 closed 36 points higher. The NASDAQ was up 184 points.

West Texas Intermediate Crude Oil futures on the CME were 52¢ to 85¢ higher through the front six contracts.

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Depending on which estimates were consulted ahead of time, Friday’s Cattle on Feed report will likely be viewed as neutral, coming in pretty much in line with estimates.

Feedlots with 1,000 head or more capacity placed 1.7 million head in April, which was 102,000 head fewer (-5.8%) than the previous year.

In terms of placement weights, 33% went on feed weighing 699 lbs. or less, 50% weighing 700-899 lbs. and 17% weighing 900 lbs. or more.

Marketings in April of 1.9 million head were 172,000 head more (+10.1%) year over year.

The on-feed inventory May 1 of 11.6 million head was 100,000 head fewer (-0.9%) than the same time last year.

2024-05-26T14:19:41-05:00

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