Feeder cattle weighing more than 800 lbs. sold steady to $2 higher last week, according to the Agricultural Marketing Service (AMS). Feeders weighing less than 800 lbs. sold steady to $2 lower. Steer and heifer calves sold unevenly steady.
“Demand for feeder weight cattle was very uneven and mainly depended on age,” say AMS analysts. “Especially 6-weight cattle that were either too young for the feedyard or too big for new wheat. Typically, this time of year, buyers are looking for cattle 60+ days weaned. However, this year, due to the wet and muddy conditions in many areas, 120 days seemed to be the earmark for numbers of days weaned. Demand for heavier weight cattle and those that would finish in April was very good.”
Not counting $2.30 lower in spot Nov, Feeder Cattle futures closed narrowly mixed week to week on Friday, from 12¢ lower to 42¢ higher.
“With ample wheat pasture virtually assured at this point, producers may stock wheat pastures a bit heavier than usual, leading to additional stocker demand in the coming weeks,” says Derrell Peel, Extension livestock marketing specialist at Oklahoma State University, in is weekly market comments.
Although ultimately more than promising, early wet weather continued to delay wheat planting and development through Oct. 29, according to USDA’s Crop Progress report. At the time, 78% of winter wheat was planted, which was 5% less than last year and 7% less than the average. Emergence at 63% was the same as the previous year, but 4% less than the average.
There was no direction from negotiated cash fed cattle trade through late Friday afternoon, although general speculation was for prices to be at least steady, if not higher than the previous week’s mostly $114-$115/cwt. on a live basis and $180 in the beef.
Not counting recently minted away-Apr, week to week on Friday, Live Cattle futures closed an average of 77¢ lower across the front half of the board (7¢ to $1.32 lower) and then an average of $1.01 higher.
Although Live Cattle futures continue to languish in a well-worn narrow channel, they and the cash market should continue to receive support from seasonally higher wholesale beef values.
Week to week, Choice boxed beef cutout value was $5.03 higher Friday afternoon at $218.50/cwt. Select was $2.64 higher at $201.47.
Although domestic and international demand for U.S. beef remains strong, same-store restaurant sales and traffic declined in September, according to the National Restaurant Association’s (NRA) most recent Restaurant Performance Index (RPI). It was 0.9% less than the previous month at 101.1.
Friday to Friday Change*
Weekly Auction Receipts
|
Receipts Nov. 2 |
Auction (head) (Change) |
Direct (head) (Change) |
Video/net (head) (Change) |
Total (head) (Change) |
|
341,400 (-16,300) |
43,200 (-14,400) |
23,000 (+6,500) |
407,600 (-24,200) |
CME Feeder Index
| CME Feeder Index | Nov. 1 | Change |
| $153.89 | – $0.12 |
*Thursday-to Thursday for CME Feeder Index
Cash Stocker and Feeder
North Central
| Steers-Cash | Nov. 1 | Change |
| 600-700 lbs. | $159.16 | – $3.17 |
| 700-800 lbs. | $159.55 | + $1.21 |
| 800-900 lbs. | $155.31 | – $0.83 |
South Central
| Steers-Cash | Nov. 1 | Change |
| 500-600 lbs. | $160.29 | – $0.87 |
| 600-700 lbs. | $153.82 | – $1.58 |
| 700-800 lbs. | $152.74 | – $2.13 |
Southeast
| Steers-Cash | Nov. 1 | Change |
| 400-500 lbs. | $154.59 | – $0.46 |
| 500-600 lbs. | $147.08 | – $0.12 |
| 600-700 lbs. | $138.30 | – $1.99 |
(AMS National Weekly Feeder & Stocker Cattle Summary)
Wholesale Beef Value
| Boxed Beef (p.m.) | Nov. 2 ($/cwt) | Change |
| Choice | $218.50 | + $5.03 |
| Select | $201.47 | + $2.64 |
| Ch-Se Spread | $17.03 | + $2.39 |
Futures
| Feeder Cattle | Nov. 2 | Change |
| Nov | $152.500 | – $2.300 |
| Jan ’19 | $149.750 | + $0.050 |
| Mar | $148.250 | + $0.425 |
| Apr | $149.450 | + $0.125 |
| May | $149.875 | – $0.125 |
| Aug | $152.850 | – $0.075 |
| Sep | $152.575 | + $0.150 |
| Oct | $152.075 | + $0.150 |
| Live Cattle | Nov. 2 | Change |
| Dec | $117.075 | – $1.325 |
| Feb ’19 | $122.200 | – $1.250 |
| Apr | $123.725 | – $0.450 |
| Jun | $115.975 | – $0.075 |
| Aug | $114.225 | + $0.600 |
| Oct | $115.475 | + $0.750 |
| Dec | $117.350 | + $1.200 |
| Feb ’20 | $118.975 | + $1.475 |
| Apr | $120.000 | n/a |
| Corn futures | Nov. 2 | Change |
| Dec | $3.712 | + $0.036 |
| Mar ’19 | $3.832 | + $0.032 |
| May | $3.912 | + $0.032 |
| Jul | $3.970 | + $0.034 |
| Sep | $3.976 | + $0.016 |
| Dec | $4.036 | + $0.012 |
| Oil CME-WTI | Nov. 2 | Change |
| Dec | $63.14 | – $4.45 |
| Jan ’19 | $63.28 | – $4.47 |
| Feb | $63.41 | – $4.43 |
| Mar | $63.56 | – $4.37 |
| Apr | $63.71 | – $4.30 |
| May | $63.84 | – $4.21 |
Equities
| Equity Indexes | Nov. 2 | Change |
| Dow Industrial Average | 25270.83 | + 582.52 |
| NASDAQ | 7356.99 | + 189.78 |
| S&P 500 | 2723.06 | + 64.37 |
| Dollar (DXY) | 96.50 | + 0.09 |