AND STOCKER CATTLE
(Federal-State Market News)
St. Joseph, Mo.
Auctions Direct Video/Internet Total
This Week Last Week Last Year
297,000 392,400 253,700
Compared to last week, steers and heifers in the Southeast were steady to 2.00 higher, while those in other areas were steady to 3.00 lower. The market was the most active on the lightweight cattle, in light flesh, as numbers of those cattle are not as plentiful as their heavier mates. Wintry weather conditions have been seen in several states this week as receipts were curtailed. The temperatures dropped considerably last weekend with some areas well below zero. Couple that with dangerous winds topping in the 50-60 mph area made for terrible conditions.
Farmer feeders in the Midwest were ready to buy cattle this week as cattle appeared to take the weather in stride and hardened up in the extreme winter conditions.
In Missouri this week, very few auctions were held in the in the north half of the state and by mid-week even those in the south were being affected by the winter weather. Transporting cattle was not the easiest thing to do and many ranchers were mostly concerned with mainly getting cattle fed in the harsh conditions.
The cattle futures had a rough week, which did add pressure to the market on the heavier cattle suitable only for finishing. For the week, Feeder Cattle futures are 3.50 to 5.37 lower, while the Live Cattle contracts were 1.50 to 3.18 lower. This week’s fed cattle market was established at steady on Wednesday and Thursday at 124.00 live in the North and South Plains and dressed sales in Nebraska being traded at 199.00.
On Thursday, the monthly Livestock Slaughter report revealed what many industry analysts have been watching the last half of the year. While Federally Inspected (FI) steer slaughter was 2 percent below the previous year and 3-year average, heifer slaughter was nearly 7 percent above a year ago and nearly 16 percent larger than the 3-year average. Couple that with FI beef cow slaughter being almost 6 percent above a year ago and nearly 15 percent above the 3-year average, leaving no doubt that ranchers have been moving the factory through the red meat pipeline in 2019.
Horrible conditions in the late winter and early spring of 2019 left many cows without calves in Nebraska and the Dakotas. Flooding also played a role this year in many areas and producer anecdotes of many open cows when pregnancy checking was completed in the fall.
An open cow is one that can drain resources from a producer’s pocketbook, and they are not willing to wait around another year to 18 months to get a return on that investment. Record high red meat and pork production was reported for the month of December at 4.73 billion pounds and 2.44 billion pounds, respectively.
Total preliminary FI hog slaughter for 2019 is being reported at a record 129.2 million,
more than 4 percent above a year ago and 7 percent above the previous 3-year average. In addition, the daily FI hog slaughter is now only a stone’s throw away from being a half million (500,000 head). Cattle Slaughter under FI estimated at 647K for the week, 16K more than last week and 39K more than a year ago.
On the week, Choice cutout closed 0.32 higher at 214.49, while Select was 2.05 lower at 210.70; putting the Choice-Select spread at 3.79. Cold Storage Report for December was released Wednesday with total red meat supplies in freezers were up 1 percent from the previous month and up 5 percent from last year. Total pounds of beef in freezers were up 1 percent from the previous month but down 3 percent from last year.
Frozen pork supplies were up 1 percent from the previous month and up 15 percent from last year. The Cattle On Feed number quoted at 102 percent of a year ago; Placements at 103 percent and Marketings at 105 percent.
Auction volume this week included 49 percent weighing over 600 lbs and 43 percent heifers.
Northwest Weighted Average Direct Feeder Cattle
Weekly Summary WA-OR-ID-UT
This Week Last Week Last Year
1,103 1,625 1,927
Compared to last week: Feeder steers and heifers too lightly tested this week for a accurate trend. Demand good. Supply consisted of 100 percent over 600 lbs. and 47 percent heifers. Unless otherwise stated prices are FOB weighting points with 2-3 percent shrink or equivalent and a 5-10 cent slide on calves and a 4-12 cent slide on yearlings from base weights. Current sales are up to 14 days delivery.
Feeder Steers Medium and Large 1
30 Head: 675 lbs, 154.00 Current Del Split Loads
145 Head: 722 lbs, 147.10 Current Del
295 Head: 750 lbs, 143.30 Current Del
120 Head: 800 lbs, 142.00 Current Del
Feeder Heifers Medium and Large 1
130 Head: 750 lbs, 132.03 Current FOB
30 Head: 625 lbs, 147.00 Current Del Split Loads
65 Head: 650 lbs, 144.00 Current Del
169 Head: 725 lbs, 137.46 Current Del