NATIONAL FEEDER

AND STOCKER CATTLE

(Federal-State Market News)

St. Joseph, Mo.

April 4

RECEIPTS

This Week Last Week Last Year

224,000 221,700 257,000

Compared to last week, steers and heifers sold steady to 3.00 higher. Demand remains very good for light steers and heifers to background, either in a feedyard or on grass, moderate to good demand for the heavier cattle bound for finishing yards.

The supply of feeders was light to moderate as weather still impacted movement in some areas and regardless of weights, however, quality cattle with good health programs still fetch quality checks. Most producers have completed the marketing of last year’s spring calf crop as newborn calves hit the ground, resulting in more limited numbers of feeder cattle being offered in the auctions. This fact is keeping the light-weight cattle market in the driver’s seat as yearling operators that still need grass cattle to turn out compete heavily to get these cattle bought.

In addition to feed cost sharply rising, the CME Live Cattle contracts have retreated, and cattle feeders are facing difficulty in buying feeder cattle that will have a breakeven price in line with where the futures contracts are at. The lofty levels of the fall months of the Feeder Cattle futures are making for a very active and highly competitive market for cattle to background and make yearlings of. The supply of these cattle is dwindling greatly, driving the markets to higher levels again. Lack of moisture remains a concern across a good portion of the country, creating more worry for these producers as they just don’t know how much stock they can put out on drought affected pastures.

Another notable item across the country is the price of cull cows and bulls, which are at very high levels. The beef cattle industry is in contraction mode at this point and some cows are leaving farms a bit sooner than they would if price levels were lower. Higher quality slaughter cows are reaching regularly into the 90’s with a few high dressing cows hitting 100.00 per cwt. High dressing slaughter bulls have climbed into the mid 130s at some locations as cow buyers are looking for lean product to mix in with the fed cattle trimmings.

Negotiated live trading of fed cattle in the Southern Plains sold steady from the previous week at 138.00, while dressed sales in Nebraska sold 1.00 higher at 222.00.

The Boxed beef cutout gained again this week as sooner or later warm temperatures will encompass the country and bring on more BBQ’ing outside. Choice boxed beef closed the week 4.50 higher at 267.14, while Select was 10.38 higher at 262.52 for the same period.

Weekly Cattle Slaughter under federal inspection estimated at 639K for the week, 20K less than last week and 36K more than a year ago. Auction volume this week included 53 percent weighing over 600 lbs and 46 percent heifers.

Northwest Weighted Average Direct Feeder Cattle

Weekly Summary WA-OR-ID-UT

April 1

RECEIPTS

This Week Last Week Last Year

226 120 1430

Compared to last week: Feeders were not well tested. Trade slow, demand light. Supply included: 100% Feeder Cattle (88.9% Steers, 11.1% Heifers). Feeder cattle supply over 600 lbs was 100%. Unless otherwise noted, Feeder Cattle prices FOB based on net weights after a 0% shrink or equivalent, with a 0 cent slide >600 lbs. Livestock reported this week originated from ID, UT.

Steers — Medium and Large 1

61 Head: 825 lbs, 149.17 Current FOB

20 Head: 715 lbs, 150.00 Current DEL

120 Head: 900 lbs, 143.00 Current DEL

Heifers — Medium and Large 1

25 Head: 700 lbs, 142.00 Current DEL