Futures and equity markets were closed on Friday, in observance of Good Friday.
Although Cattle futures firmed at the end of weekly trade, they ended sharply lower week to week, due in part to the previous Friday’s monthly Cattle on Feed report. As mentioned in Cattle Current, feedlot placements in February were 9.7% more year over year and 3.4% more than expected.
Futures also suffered from panic selling earlier in the week that stemmed from confirmation of Highly Pathogenic Avian Influenza in dairy cows (see below).
Week to week on Thursday, Live Cattle futures closed an average of $4.22 lower ($3.37 to $5.07 lower).
Negotiated cash fed cattle prices softened, too. For the week, FOB live prices were $2 lower in the Southern Plains at $186/cwt., steady to $1 lower in Nebraska at $189-$190 and $1-$2 lower in the western Corn Belt at $188-$190. Dressed delivered prices were steady to $3 lower in Nebraska at $299-$302. Dressed delivered prices in the western Corn Belt the previous week were $302.
Choice boxed beef cutout value was $4.00 lower week to week on Friday at $306.72/cwt. Select was $1.96 higher at $303.43. Friday’s Choice-Select spread of $3.29 was the lowest in about two years.
Estimated total cattle slaughter last week of 586,000 head was 12,000 head fewer than the previous week and 59,000 head fewer than the same week last year. Year-to-date estimated total cattle slaughter of 7.7 million head was 473,000 head fewer (-5.8%). Estimated year-to-date beef production of 6.5 billion pounds was 284.5 million pounds less (-4.2%).
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