Cattle prices in dollars per hundredweight (cwt.) except some replacement animals per pair or head as indicated.

NATIONAL SLAUGHTER CATTLE

(Federal-State Market News)

Oklahoma City-Des Moines

Feb. 1

Compared to Jan. 25: Slaughter cattle sold $1-3 higher. Dressed sales in Nebraska were mostly steady. Packer demand moderate. Boxed beef prices Feb. 1 averaged $181.76 down $3.34 from Jan. 25. The Choice/Select spread is at $4.43. Slaughter cattle on a national basis for negotiated cash trades through Feb. 1 totaled about 35,00 head. The previous week's total head count was 107,702.

Midwest Direct Markets: Live Basis: Steers and Heifers 35-80 Percent Choice, 1200-1400 lbs. $123-125 Dressed Basis: Steers and Heifers: $199.

South Plains Direct Markets: Live Basis: Steers and Heifers 35-65 percent Choice, 1100-1400 lbs. $124.50-125

Slaughter Cows and Bulls (Average Yielding Prices): Slaughter cows and bulls unevenly steady to $3 higher.

USDA's Cutter cow carcass cut-out value Friday morning was $165.53 down $2.21 from Jan. 25.

NATIONAL FEEDER AND STOCKER CATTLE

(Federal-State Market News)

St. Joseph, Mo.

Feb. 1

This week Last week Last year

322,100 277,600 348,300

Compared to Jan 25, feeder cattle sold $3-6 higher while calves over 550 lbs. traded firm to $5 higher. Lightweight calves under 550 lbs. and all weights of true stocker cattle in a thin-fleshed and hard-weaned condition sold $5-15 higher. All the insurmountable pressure that plagued feeder markets over the last two weeks from lower futures, shrinking corn stockpiles and heavy marketings turned around this past week.

CME cattle futures opened the week sharply higher in response to the bullish cattle-on-feed report Jan. 25 that showed 5.6 percent fewer headcounts on feed and December placements that were surprisingly less than a year ago, marking 10 months in 2012 that fewer cattle were put into feeding facilities than the previous year.

The announcement was also made that Japan will ease import restriction on U.S. beef. However, this has not been a limiting factor to their purchase volume. The largest contributor to the current increase in feeder cattle demand is the fact that availability is drying up just as fast or maybe even faster than most folks thought it would.

Auction receipts continue to plummet and are running 20 percent lighter than last year. The push is already becoming frantic for grass cattle and the most activity is being seen on lightweights under 450 lbs, but heavier stocker cattle are also seeing a boost. In Philip, S.D., a load of thin fleshed 606 lb. steers brought $175 with another load weighing 654 lbs. yielding $170, trumped by a big load of 713 lb. steers flagged as fancy selling for $164.

The Cattle Inventory report showed total headcounts down 2 percent as expected, beef cows were down 3 percent but surprisingly beef replacements were up 2 percent. If moisture levels allow for the additional keeping of heifers this will only exacerbate the limited availability of feeder cattle. It is now evident that the numbers of market-ready finished cattle will steadily decline for the foreseeable future as fund investors and speculators who dominate the long-side of the CME Live Cattle futures are now pulling the market along. Fed cattle sold $3 higher early in the week in the Southern feedyards at $125 while the Northern feedlot area traded mostly on Feb. 1 at $202 dressed, which was $4 higher. The tide may have started to turn on the persistent drought through the midsection of the country. Snow and rain moved from New Mexico to the Midwest this week, including a 2-3 inch downpour across the majority of Missouri , which ran to the ponds, giving relief to producers who have been hauling water since late summer. This week's reported auction volume included 57 percent over 600 lbs. and 44 percent heifers.

AUCTIONS

This week Last week Last year

207,600 226,000 265,600

WASHINGTON 1,300. 56 pct over 600 lbs. 47 pct heifers. Steers: Medium and Large 1-2 few 300-350 lbs. $177.52; few 550-600 lbs. $152.91; 600-650 lbs. $148.50; pkg 658 lbs. $142.40; 700-750 lbs. $141.50; few 750-800 lbs. $138.82. Heifers: Medium and Large 1-2 few 300-350 lbs. $154.61; few 450-500 lbs. $142.81; few 500-550 lbs. $140.03; 550-600 lbs. $137.03; 600-650 lbs. $129.18; few 700-750 lbs. $122.42.

DIRECT

This week Last week Last year

80,100 6,900 33,300

SOUTHWEST (Arizona-California-Nevada) 800. No cattle over 600 lbs. No heifers. Holsteins: Large 3 450 head 300 lbs. $145.75 FOB May; 300 head $155 del June.

NORTHWEST (Washington-Oregon-Idaho) 1,300. 63 pct over 600 lbs. 44 pct heifers. Steers: Medium and Large 1-2 Current FOB Price 550-600 lbs. $164 Idaho; 850-900 lbs. $134-139. Large 1-2 1000 lbs. $128 Idaho. Current Delivery Delivered Price 800-850 lbs. $138 Idaho early. Heifers: Medium and Large 1-2 Current FOB Price 550-600 lbs. $152 Idaho; 600-650 lbs. $136 Idaho; 850-860 lbs. $134 Idaho. Current Delivery Delivered Price 550 lbs. $143 Idaho.

NORTHWEST DIRECT CATTLE

(USDA Market News)

Moses Lake, Wash.

Feb. 1

This week Last week Last year

1,300 2,660 4,300

Compared to Jan. 25, feeder cattle firm to $4 higher. Trade slow to moderate with good demand as feedlots get aggressive for numbers. The feeder supply included 56 percent steers and 44 percent heifers. Near 63 percent of the supply weighed over 600 lbs. Prices are FOB weighing point with a 1-4 percent shrink or equivalent and with a 5-10 cent slide on calves and a 3-6 cent slide on yearlings.

Steers: Medium and Large 1-2: Current FOB Price: 550-600 lbs. $164 Idaho; 850-900 lbs. $134-139. Large 1-2: 1000 lbs. $128 Idaho. Current Delivered Price: 800-850 lbs. $138 Idaho early.

Heifers: Medium and Large 1-2: Current FOB Price: 550-600 lbs. $152 Idaho; 600-650 lbs. $136 Idaho; 850-860 lbs. $134 Idaho. Current Delivered Price: 550 lbs. $143 Idaho.