Cattle futures closed mostly higher Monday, supported by Choice wholesale beef values and softer Corn futures.
Toward the close, Live Cattle futures were an average of 26¢ higher, except for 40¢ lower in spot Oct. Feeder Cattle futures were an average of 79¢ higher, except for an average of 51¢ lower in the front two contracts.
Negotiated cash fed cattle trade was at a standstill through Monday afternoon, according to the Agricultural Marketing Service.
Last week, FOB live prices were generally steady to $1 higher at $186-$187/cwt. in Kansas, $187 in the Texas Panhandle and $187-$188 in the North. Dressed delivered prices were steady at $296.
Last week’s weighted average five-area direct FOB live steer price was 32¢ higher at $187.21/cwt. The weighted average dressed delivered steer price was 8¢ lower at $295.92.
Choice boxed beef cutout value was $2.10 higher Monday afternoon at $313.32/cwt. Select was 38¢ higher at $289.10.
Grain and Soybean futures closed lower Monday, with pressure including a positive South American weather outlook and the recently stronger U.S. dollar.
Toward the close and through Sep ’25 contracts, Corn futures were 8¢ to 9¢ lower. Kansas City Wheat futures were 13¢ to 14¢ lower. Soybean futures were 9¢ to 10¢ lower.
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Major U.S. financial indexes continued higher on bullish sentiment Monday.
The Dow Jones Industrial Average closed 201 points higher. The S&P 500 closed 44 points higher. The NASDAQ was up 159 points.
Through mid-afternoon, West Texas Intermediate Crude Oil futures on the CME were $1.17 to $1.57 lower through the front six contracts.
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Calves and feeder cattle traded mixed to higher last week at the weekly auctions monitored by Cattle Current. In fact, Andrew P. Griffith, agricultural economist at the University of Tennessee notes calf prices are strengthening counter-seasonally.
“October tends to be the month in which calf prices reach their seasonal low, as many producers are bringing their spring born calf crop to market,” Griffith explains in his weekly market comments. “The softness in the market tends to still be evident in November before slowly firming in December. Contrary to this seasonal tendency is the fall of 2024. The price of calves may have already achieved its seasonal low as two consecutive weeks of higher prices to start October may be the price reversal. If the price lows for the fall marketing time period have already been experienced, then cattle producers have much more to look forward to as prices will be expected to increase through the spring.”
Griffith notes the declining cattle supplies coming into play.
“It is well documented that fewer cows were in the herd, which means fewer calves available for stocker, backgrounding, and feedlot operations,” Griffith says. “This known information has been masked to some degree as feeder cattle have continued making their way to the feedlot due to heifers not being retained and strong beef production from growing cattle larger in the feedlot.”