(Federal-State Market News)

St. Joseph, Mo.

March 22


This Week Last Week Last year

229,700 394,000 85,700

Compared to last week, steers and heifers sold mostly steady to 5.00 higher, with instances 6.00-8.00 higher. Many auctions in the upper Midwest and Northern Plains were off this week, as many are on a two-week schedule and in some cases late winter storms through some regions as Sioux Falls Regional Stockyards were not reported due to very light receipts.

Supply is very tight on lightweight feeders and when they do show up there is good active bidding on them. Buyers have pursued all classes of feeder cattle despite high feed cost. The feeder cattle market remains very eager on feeder cattle for grazing turning them into yearlings that will press down hard on scales late this summer or early fall.

The supply for feeders weighing 600-950 lbs is much greater as backgrounded steers and heifers exist and saw moderate to good demand this past week, especially for those with good weighing conditions.

The calendar insists that spring has arrived with its warmer days, greener pastures and hopefully consumers will be before long lighting up the backyard grills. Cattle feeders have watched the April Live Cattle contract continue to struggle unable to get to the 120.00 mark, as April is normally the high of the year, when supplies of market ready cattle are the tightest.

We have seen a very unusual premium in the Live Cattle June and August contracts for this time of year as they have recently for the most part traded above the April contract. August Live Cattle on Friday fell below the April contract closing at 117.77, June at 118.67 and April at 118.40.

Slaughter cattle trade this week for the seventh straight week traded for the most part at 114.00 in the Southern Plains. But seems to have a better tone to it as trade in Nebraska was steady to 1.00 higher at mostly 114.00 with a few up to 115.25 and dressed sales steady to 2.00 higher at 180.00-182.00.

Iowa/Minnesota traded mostly 2.00 higher at 114.00-115.00 with a bit of trade as high as 116.00 reported.

Cattle on Feed Report was released Friday afternoon and came in as expected with On Feed at 101.6, Placements at 98.1, and Marketings at 97.6. This is the second highest March 1 inventory since the series began in 1996.

Boxed-beef cut-out values are finding a bottom and seeing strength, as food service industry is expected to see more business with expectations of the restaurant industry to increase through spring into summer. Retail beef trade appears to be ready to see some growth in the coming weeks ahead. Choice boxed beef closed Friday 1.38 higher at 229.99 with Select 1.84 higher closing at 219.95, compared to the previous Friday’s close of Choice at 225.87 and Select at 220.77.

Cattle slaughter under federal inspection estimated for the week at 624K, 23K less than last week, and 36K less than year ago. Auction volume this week included 52 percent weighing over 600 lbs and 44 percent heifers.

Northwest Weighted Average Direct Feeder Cattle

Weekly Summary WA-OR-ID-UT

March 19


This Week Last Week Last year

3917 1134 0

Compared to last week: Feeder Steers and Heifers not well tested with limited current FOB receipts from last week. Demand moderate to good. Supply included 100% Feeder Cattle (48.7% Steers, 51.3% Heifers). Feeder cattle supply over 600 lbs was 100%. Unless otherwise noted, Feeder Cattle prices FOB based on net weights after a 2-3% shrink or equivalent, with a 4-8 cent slide > 600 lbs. Livestock reported this week originated from ID, OR, UT.

Steers — Medium and Large 1

20 Head: 795 lbs, 127.02 Current FOB

725 Head: 861 lbs, 132.14 Current FOB

300 Head: 900 lbs, 131.22 Current FOB

295 Head: 735 lbs, 145.68 Current DEL

290 Head: 768 lbs, 140.83 Current DEL

50 Head: 825 lbs, 135.00 Current DEL

46 Head: 850 lbs, 131.72 Current DEL

60 Head: 925 lbs, 133.00 Current DEL

120 Head: 850 lbs, 137.00 Apr DEL

Heifers — Medium and Large 1

217 Head: 810 lbs, 124.73 Current FOB

435 Head: 850 lbs, 126.65 Current FOB

130 Head: 725 lbs, 134.92 Current DEL

140 Head: 755 lbs, 131.00 Current DEL

45 Head: 800 lbs, 126.67 Current DEL

66 Head: 850 lbs, 126.00 Current DEL

70 Head: 725 lbs, 136.00 Apr DEL

170 Head: 750 lbs, 133.00 Apr DEL

120 Head: 850 lbs, 130.00 Apr DEL