Cattle Market Notes Week Ending January 27, 2017

Cattle Quick Thoughts

The U.S. beef cow herd expansion has been a primary point in the discussion of the decline of cattle prices since 2014. The USDA Cattle Inventory Report will be released this week on January 31st and will offer insight into the state of the herd expansion. I expect the report to show that the U.S. beef cow herd continued to grow in 2016, although at a slower pace that the 3.5% increase we saw over 2015. Of particular interest to Southeastern producers will be the impact of the drought on the cow herds in Mississippi and surrounding states.

Cash Cattle:

Fed cattle cash prices took a step backward this week. Cash traded fed cattle were down 48 cents to an average of $121.40 for live sales compared to $121.89 last week. Dressed steers averaged $193.58 this week, down from $194.82 last week. Trade volume was 76,057 head, down about 30,000 head from last week.

Mississippi steer prices were a mixed bag this week depending on weight class. Feeders weighing 450-500 pounds were up $2 at $142.50 while heavier 750-800 pound steers saw a price bump to an average of $118.50 compared to $117.50 last week. However, steers between 500 and 700 pounds experienced decreases in average prices.

Feeder prices in Oklahoma City for 500-550 pound steers were up $3.43 to $163.52 and OKC 750-800 pound steers averaged $132.79 which was up 63 cents from last week.

[ … For more in depth Livestock Prices and Production data and trends CLICK HERE …  ]

Futures:

Live cattle futures and feeder futures dropped this week. February live cattle were down $2.10 on the week at $118.05, while April live cattle were down $1.95 over last week to $117. March feeder cattle were down $4.35 from last Friday at $127.18 while April futures were down $3.82 on the week at $126.53. Corn futures prices also dropped this week with March corn down $0.07 to $3.63 and May corn futures down 7 cents to $3.70 as compared to last week.

Beef:                                                                                           

Wholesale boxed beef prices were up this week with choice boxes averaging $192.09, up 44 cents from a week ago. Select boxes ended the week with an average of $188.57, an increase of $1.19 from last week. The choice-select spread shrunk further to $3.52.

Note: all cattle and beef prices are quoted in dollars per hundredweight and corn prices are quoted in dollars per bushel unless stated otherwise.

Cattle Market Notes: Week Ending January 20, 2017

Cash Cattle:

Cattle prices were higher in most markets this week. Cash traded fed cattle were up $1.68 to an average of $120.15 for live sales compared to $118.48 last week. Dressed steers averaged $194.82 this week. Trade volume was back up to 105,110 head after a down week of only 8,680 head reported last week.

Steer prices in Mississippi were higher across all weight classes this week except for calves under 400 pounds. Feeders weighing 450-500 pounds were up $1.50 at $140.50 compared to $139.00 last week. Heavier 750-800 pound steers averaged $117.50, a $4.00 increase over last week’s average of $113.50.

Oklahoma City 500-550 pound steers were up $3.83 to $160.09 after averaging $156.26 a week ago. OKC 750-800 pound steers averaged $132.16 which was down 52 cents from last week.

[ … For more in depth Livestock Prices and Production data and trends CLICK HERE …  ]

Futures:

Live cattle futures and feeder futures continued their upward trajectory this week. February live cattle were up $1.68 on the week at $120.15, while April live cattle were up $1.15 over last week to $118.95. January feeder cattle were up $2.65 from last Friday at $132.95 while March futures are up $2.30 on the week at $131.53. Corn futures prices also rose this week with March corn up $0.11 to $3.70 and May corn futures up a dime to $3.76 as compared to last week.

Beef:                                                                                           

Wholesale boxed beef prices declined this week with choice boxes averaging $191.65, down 35 cents from a week ago. Select boxes ended the week with an average of $187.38, a decrease of $1.21 from last week. The choice-select spread rose $0.86 to $4.27 this week, though still well below the 5-year average of $9.34.

Note: all cattle and beef prices are quoted in dollars per hundredweight and corn prices are quoted in dollars per bushel unless stated otherwise.

Cattle Market Notes: Week Ending January 13, 2017

Cash Cattle:

Cash traded fed cattle were up $0.67 this week to an average of $118.44 for live sales compared to $117.67 last week. Very little volume was reported this week, however, with only 8,680 head reported for the week – down from 72,821 last week.

The first reported prices in 2017 for Oklahoma City 500-550 pound steers averaged $156.26 while 750-800 pound steers averaged $132.68. During this week in Mississippi auctions, lighter weight feeders weighing 450-500 pounds averaged $139.00, while heavy steers averaged $113.50.

[ … For more in depth Livestock Prices and Production data and trends CLICK HERE …  **Please note: there is quite a bit of missing data for last week due to the limited reporting during the holidays**]

Futures:

Live cattle futures and feeder futures rallied this week. February live cattle were up $3.66 on the week at $118.48, while April live cattle were up $3.60 to $117.8 over last week. January feeder cattle were up $1.80 from last Friday at $130.30 while March futures are up $5.20 on the week at $129.23. March and May corn futures are each up a penny from a week ago at $3.59 and $3.66, respectively.

Beef:                                                                                           

Wholesale boxed beef prices are declined this week with choice boxes averaging $192, down $9.84 from a week ago. Select boxes ended the week with an average of $188.59, a decrease of $5.03 over last week. The choice-select spread shrunk to just $3.41 this week

Note: all cattle and beef prices are quoted in dollars per hundredweight and corn prices are quoted in dollars per bushel, unless stated otherwise.

Cattle Market Update: Week Ending January 7, 2017

Posted by Brian Williams for Josh Maples

First off, let me introduce myself. My name is Josh Maples, a new Assistant Professor & Livestock Extension Economist in the Agricultural Economics Department at MSU. I will be focusing on Livestock economics which will allow Brian Williams to spend more of his time on crops. I grew up on a cattle farm in Elkmont, AL and graduated from MSU. I just completed a PhD in Agricultural Economics at Oklahoma State University in December 2016 where I focused on Livestock production and marketing.

We are always looking for ways to be more helpful to producers. As I get started here at MSU, I’ll be looking for ways to improve and add to the information that you need. If there is anything that you would like to see from a livestock marketing or production standpoint, please let me know at josh.maples@msstate.edu. I look forward to meeting many of you in the coming months and working with you to make sure we at MSU are providing you with the information you need.

Now, on to this week’s cattle market update…

Cash Cattle:

Cash traded fed cattle started the new year on an upswing with the five-area fed steer price for the week of December 29 – January 5 averaging $117.67 for live sales, and $187.98 for dressed; up $2.53 and $17.67, respectively, over the last reported week of 2016 (week ending December 23rd). Total volume sold was up 4,000 head from a week ago and up 45,000 head from last year.

The Christmas and New Year holidays limited reporting for Feeder steer cattle and calves over the past two weeks. The last reported prices in 2016 were for the week of December 23rd when Oklahoma City 500-550 pound steers averaged $152.24 while 750-800 pound steers averaged $132.36. During the same week in Mississippi auctions, lighter weight feeders weighing 450-500 pounds averaged $140.00, while heavy steers averaged $110.00. The first reported prices for 2017 will surface next week.

[ … For Livestock Prices and Production data and trends CLICK HERE …  **Please note: there is quite a bit of missing data this week due to the limited reporting during the holidays**]

Futures:

Live cattle futures and feeder futures took a step back this week. February live cattle were down $1.23 on the week at $114.82, while April live cattle were down $0.37 to $114.20 from last week. January feeder cattle were down $1.95 from last Friday at $128.50 while March futures are down $1.07 on the week at $124.03. March corn futures are up $0.06 from a week ago at $3.58 while May futures are up $0.07 to $3.65.

Beef:

Wholesale boxed beef prices are up slightly compared to a week ago. Choice boxes averaged $201.84, up $0.04 from a week ago. Select boxes ended the week with an average of $193.62, an increase of $0.83 over last week. The choice-select spread narrowed from $9.01 a week ago to $8.22 this week.

Note: all cattle and beef prices are quoted in dollars per hundredweight and corn prices are quoted in dollars per bushel, unless stated otherwise.