Cattle futures gained Thursday, supported by steady to higher cash prices and a late-day bounce in outside markets.
Heading into the close, Live Cattle futures were an average of 87¢ higher. Feeder Cattle futures were an average of $1.67 higher.
Negotiated cash fed cattle trade ranged from slow on light demand to mostly inactive on light demand through Thursday afternoon, according to the Agricultural Marketing Service.
So far this week, Live FOB prices are steady to $1 higher in the Texas Panhandle at $181/cwt. and steady to $1 lower in Kansas at $180-$181.
Last week, FOB live prices were $180-$181 in Nebraska and $180-$183 in the western Corn Belt. Dressed delivered prices were $288 in Nebraska and $286-$288 in the western Corn Belt.
Choice boxed beef cutout value was 18¢ lower Thursday afternoon at $307.18/cwt. Select was $1.26 higher at $295.64.
Corn futures faded the increased yield projections in Thursday’s monthly World Agricultural Supply and Demand Estimates.
Toward the close and through Jly ’25 contracts, Corn futures were fractionally higher to 7¢ higher in expiring spot Sep Kansas City Wheat futures were mostly fractionally lower. Soybean futures were 7¢ to 11¢ higher.
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Major U.S. financial indices closed higher again Thursday, with more optimism later in the session.
The Dow Jones Industrial Average closed 235 points higher. The S&P 500 closed 41 points higher. The NASDAQ was up 174 points.
Through mid-afternoon, West Texas Intermediate Crude Oil futures on the CME were $1.46 to $1.87 higher through the front six contracts.
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USDA lowered expected five-area direct fed steer prices for the remainder of this year and the first half of 2025, in the September World Agricultural Supply and Demand Estimates.
Based on recent price weakness, forecast prices were lowered by $3 in the third quarter to $188/cwt. and by $7 in the fourth quarter to $183 for an annual average of $185.11, which was $3 lower than the previous month’s estimate. Projected prices were lowered in the first quarter next year by $3 to $186 and by $4 in the fourth quarter to $186 for an annual average price of $186, which was $5 lower.
Forecast 2024 red meat and poultry production was raised from last month on higher beef, pork, and broiler forecasts. Beef production was raised 59 million pounds (+0.2%) to 26.8 billion pounds on higher cow slaughter and heavier cattle weights in the second half of the year.
For 2025, beef production was raised 180 million pounds (+0.7%) to 25.6 billion pounds on higher steer and heifer slaughter and heavier carcass weights. Production would be 1.2 billion pounds less (-4.4%) than this year’s estimated production.
Among other WASDE highlights…
Corn
This month’s 2024/25 U.S. corn outlook was for smaller supplies and a modest decline in ending stocks. Projected beginning stocks for 2024/25 were 55 million bushels lower based on increases in exports and corn used for ethanol for 2023/24. Corn production for 2024/25 was forecast at 15.2 billion bushels, up 39 million from last month on a 0.5-bushel increase in yield to 183.6 bushels per acre. Harvested area for grain was unchanged at 82.7 million. With supply falling and use unchanged, ending stocks were reduced 16 million bushels to 2.1 billion.
The season-average corn price received by producers was lowered 10¢ to $4.10 per bushel.