Feeder steers and heifers traded mostly steady to $7/cwt. higher, according to the Agricultural marketing Service (AMS). Calves sold from $4 lower to $5 higher.
“Long-time weaned, preconditioned calves with a complete vaccination program saw sharply higher undertones,” AMS analysts said.
Except for 22¢ higher in recently minted away Sep, Feeder Cattle futures closed an average of $2.18 higher week to week on Friday ($1.72 to $2.92 higher).
“…the failure of the calf market to follow the strength in the feeder cattle market may be an indication of further seasonal declines in the calf market,” says Andrew P. Griffith, agricultural economist at the University of Tennessee, in his weekly market comments. “Producers should consider this when considering marketing options.”
Cash fed cattle trade remained at an impasse Friday afternoon. Higher futures prices and stronger auction trade of fed cattle early in the week supported hopes for steady money to a touch higher. Prices the previous week were mostly $108/cwt. on a live basis and $172 in the beef.
“The packer is making more money than the feedlot at this time which means they could pay a little more, but it is doubtful they are going to willingly pass some of their margin to the cattle feeder as a good will offering,” Griffith says. “The market will likely see more weeks of this action.”
Except for 57¢ and 45¢ higher in the back two contracts, Live Cattle futures closed an average of $1.79 higher ($1.37 to $2.15 higher).
Choice boxed beef cutout value was 60¢ higher week to week on Friday at $197.22 per cwt. Select was $1.27 lower at $187.23.
AMS analysts point out that winter wheat planting was 36% complete Aug. 1, according to the most recent USDA Crop Progress report. That’s 7% less than the five-year average. Winter wheat planting is 21% complete in Kansas, which is 18% less than average. It’s 30% sown in Oklahoma, which is 13% later than average. In Texas, planting is on par with average at 40%.
Friday to Friday Change*
Weekly Auction Receipts
| Receipts | Auction | Change | Direct | Change | Video/Internet | Change | Total | Change |
| Oct. 6 | 211,800 |
+45,300 |
41,400 | -1,300 | 23,300 | -21,500 | 276,500 | +65,500 |
CME Feeder Index
| CME Feeder Index | Oct. 5 | Change |
| $155.57 | + $2.61 |
*Thursday-to Thursday for CME Feeder Index
Cash Stocker and Feeder
North Central
| Steers-Cash | Oct. 6 | Change |
| 600-700 lbs. | $163.61 | – $3.13 |
| 700-800 lbs. | $163.80 | + $1.63 |
| 800-900 lbs. | $158.96 | + $0.25 |
South Central
| Steers-Cash | Oct. 6 | Change |
| 500-600 lbs. | $158.77 | – $1.26 |
| 600-700 lbs. | $154.80 | – $1.90 |
| 700-800 lbs. | $154.23 | + $0.48 |
Southeast
| Steers-Cash | Oct. 6 | Change |
| 400-500 lbs. | $156.56 | + $0.03 |
| 500-600 lbs. | $146.59 | – $0.01 |
| 600-700 lbs. | $140.20 | – $1.25 |
(AMS National Weekly Feeder & Stocker Cattle Summary)
Wholesale Beef Value
| Boxed Beef (p.m.) | Oct. 6 ($/cwt) | Change |
| Choice | $197.22 | + $0.60 |
| Select | $187.23 | – $1.27 |
| Ch-Se Spread | $9.99 | + $1.87 |
Futures
| Feeder Cattle | Oct. 6 | Change |
| Oct | $153.950 | + $1.725 |
| Nov | $155.750 | + $1.750 |
| Jan ’18 | $153.700 | + $2.175 |
| Mar | $151.650 | + $2.925 |
| Apr | $151.150 | + $2.500 |
| May | $149.925 | + $2.100 |
| Aug | $150.650 | + $2.100 |
| Sep | $149.325 | + $0.225 |
| Live Cattle | Oct. 6 | Change |
| Oct | $111.025 | + $1.925 |
| Dec | $116.925 | + $1.675 |
| Feb ’18 | $120.725 | + $2.100 |
| Apr | $121.600 | + $1.750 |
| Jun | $115.200 | + $2.150 |
| Aug | $112.300 | + $1.575 |
| Oct | $112.775 | + $1.375 |
| Dec | $113.250 | + $0.575 |
| Feb | $113.600 | + $0.450 |
| Corn futures | Oct. 6 | Change |
| Dec | $3.500 | – $0.052 |
| Mar ’18 | $3.632 | – $0.044 |
| May | $3.720 | – $0.042 |
| Jul | $3.796 | – $0.040 |
| Sep | $3.866 | – $0.034 |
| Dec | $3.964 | – $0.030 |
| Oil CME-WTI | Oct. 6 | Change |
| Nov | $49.29 | – $2.38 |
| Dec | $49.65 | – $2.30 |
| Jan 18 | $49.92 | – $2.22 |
| Feb | $50.12 | – $2.10 |
| Mar | $50.27 | – $1.97 |
| Apr | $50.36 | – $1.85 |
Equities
| Equity Indexes | Oct. 6 | Change |
| Dow Industrial Average | 22773.67 | + 368.58 |
| NASDAQ | 6590.18 | + 94.22 |
| S&P 500 | 2549.33 | + 29.97 |
| Dollar (DXY) | 93.79 | + 0.72 |