Cattle Quick Thoughts
The cattle on feed report showed a 4 percent increase in the number of cattle on feed on July 1 over last year. It also reported a 16 percent increase in placements and a 4 percent increase in marketings in June of 2017 as compared to June of 2016. This is much larger than expected and cattle futures prices have opened significantly lower today in response to this report and the cattle inventory report. To continue reading this article click HERE…
Cash traded fed cattle prices were mostly steady last week. Live cattle were down 15 cents to an average of $119.33 while dressed steers were down 34 cents to an average of $189.74.
Feeder cash prices were higher last week in Mississippi. Mississippi feeder steers weighing 450-500 pounds were up $1 to an average of $153.50 while 750-800 pound steers were up $1.50 to $130.50. Average feeder prices last week in Oklahoma City were at $171.87 for 500-550 pound steers and up $3.02 to $153.24 for 750-800 pound steers.
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Futures prices were lower at the end of the week. August live cattle were down $1.63 to $116.43 while October live cattle were down $1.43 to $117.40. August feeder cattle were down $1.85 to $152.95 while September feeder futures were down $1.50 on the week to $153.15. Corn futures prices were lower with September and July down a nickel to $3.72 and $3.85, respectively.
Boxed beef values fell further last week. Choice boxes averaged $207.88, down $5.05 from a week ago. Select boxes averaged $195.39, down $3.53 from last week. The choice-select spread shrunk to $12.49, down $1.52 from last 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.
The cattle on feed report showed a 4 percent increase in the number of cattle on feed on July 1 over last year. It also reported a 16 percent increase in placements and a 4 percent increase in marketings in … Continue reading
**Notice of Change to this Newsletter** This Cattle Market Notes Newsletter is moving to a Monday release. The reason for this change is to provide a more accurate weekly update by better aligning the prices reported. For example, the “weekly” … Continue reading
Cattle Quick Thoughts The drought conditions in the Northern Plains continue to worsen and are impacting the cattle herds in the region. The latest USDA drought monitor (available here) shows that approximately half of the counties in North Dakota are … Continue reading
Cattle Quick Thoughts The European Union (EU) and Japan agreed in principle to the Economic Partnership Agreement (EPA) this week. This is a large scale trade agreement of which beef is just one piece. This agreement will lower the import … Continue reading
Cattle Quick Thoughts The South Dakota state court defamation lawsuit for Beef Products Inc. (BPI) against ABC News settled outside of court this week. This is the suit that alleged ABC published “false and disparaging” statements about BPI’s lean finely … Continue reading
Cattle Quick Thoughts The May Cattle on Feed Report was released Friday afternoon. Placements continued to outpace last year. May placements into feedlots were up 12 percent or 230,000 head greater than May of last year. Fed cattle marketings were … Continue reading
Cattle Quick Thoughts U.S. beef was shipped to China for the first time in nearly 14 years on Wednesday, June 14th. This followed the release of the final trade details on the preceding Monday. This is an important development for … Continue reading
Cattle Quick Thoughts Another scandal in Brazil is sending waves through the global beef industry. JBS, a Brazilian-based company, is the largest meatpacking company in the world and recently admitted to bribing almost 2,000 politicians in Brazil for exchange for … Continue reading
Cattle Quick Thoughts I received a good question about what the Boxed Beef Cutout Value (BBCOV) represents at the MS/LA Beef Field Day a few weeks ago. The BBCOV is reported by the USDA Agricultural Marketing Service and it provides … Continue reading