Feeder Cattle futures plunged Thursday, carrying Live Cattle along. Primary pressure appeared to be the surge in Corn futures, skittishness about consumer beef demand with lower outside markets and Friday’s Cattle on Feed report.
Feeder Cattle futures closed an average of $4.83 lower ($3.55-$5.52 lower).
Live Cattle futures closed $1.77 lower ($1.45 to $2.12 lower).
Negotiated cash fed cattle trade ranged from slow on light to moderate demand to slow on light demand through Thursday afternoon, according to the Agricultural Marketing Service. FOB live prices were $1-$2 higher in the western Corn Belt at $186-$187, where dressed delivered prices were $2 higher at $292-$294 in a light test.
Although too few transactions to trend, there was some live trade in Kansas at $184 and at $186 in Nebraska, where there were a few in the beef at $294.
Last week, FOB live prices were $183/cwt. in the Southern Plains and $185 in Nebraska, where dressed prices were $292.
Choice boxed beef cutout value (p.m.): 26¢ higher at 304.12/cwt. Select was 87¢ lower at $277.48/cwt.
Grain and soybean futures closed higher Thursday, in part buoyed by thoughts that the harvest low has been established.
Corn futures closed 9¢ to 13¢ higher through the front four contracts and then mostly 4¢ to 7¢ higher.
Soybean futures closed mostly 2¢ to 4¢ higher.
KC HRW Wheat closed mostly 3¢ to 5¢ higher.