Cattle futures eased lower Tuesday, awaiting cash direction and with some potential positioning ahead of Friday’s monthly Cattle on Feed report. Depending on whose numbers you follow, estimates are for November placements to be about 4% less year over year with November marketings down about 7% and the Dec. 1 on-feed inventory about 2% higher.
Feeder Cattle futures closed an average of 62¢ lower (20¢ to $1.27 lower), except for 65¢ higher in the back contract.
Live Cattle futures closed an average of 33¢ lower (2¢ to 85¢ lower) except for unchanged in away Feb.
Negotiated cash fed cattle trade ranged from mostly inactive on light demand to a standstill through Tuesday afternoon, according to the Agricultural Marketing Service.
Last week, FOB live sales were $1 lower in the Southern Plains at $170/cwt., $1-$3 lower in Nebraska at $168 and $1-$2 lower in the western Corn Belt at $167-$169. Dressed delivered prices were steady to $4 lower in Nebraska at $267-$268 and $1-$3 lower in the western Corn Belt at $267.
Choice boxed beef cutout value was 82¢ lower Tuesday afternoon at $288.83/cwt. Select was 56¢ lower at $263.16/cwt.
Corn futures closed 4¢ to 6¢ lower.
KC HRW Wheat futures closed 10¢ to 13¢ higher on short covering and chatter about more exports to China.
Soybean futures closed mostly 12¢ to 17¢ lower, as traders removed some South American weather premium.
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