The cash trade developed relatively early given the recent trend. By Wednesday, trade had begun at $128-129 live in the South Plains and $207 dressed in Colorado. The activity continued Thursday morning with dressed trade going for $205 in Nebraska and $207 in the Corn Belt on active trade.
Total beef production for the year to date is down 1.3 percent and total slaughter is down 2.1 percent compared to the same period last year. Both beef production and slaughter have been larger in recent weeks and the yearto-date total is down less than expected.
Cash trade—or even the rumor of it—was basically non-existent throughout the first half of last week, with not even 1,500 head sold by Wednesday evening. Packer bids only developed late Wednesday, and at $123-124 live and $198 dressed, they lagged behind offers by $5-7.
The April Cattle on Feed report (COF) came out Friday, April 19. The report covers numbers of cattle on feed in feedlots of 1,000 head or greater capacity as of April 1, and the number placed and marketed during March. The biggest surprises came from the number of cattle placed, which was well above both year ago levels and pre-report estimates.
There seems to be a chill on cattle markets…both literally and figuratively. Cattle markets remain hunkered down due to weather and other impacts. The unrelenting cold, wet spring continues to have a variety of impacts on both the supply and demand sides of cattle and beef markets.
There was an interesting game going on in the cash fed market last week. Early in the week, word from packers was that they were going to pull April contract cattle for their needs and avoid the higher cash market. This led analysts to predict a steady to down $1 cash trade.
The most recent Crop Progress report came out Monday, April 1. The report—the first of this year—showed sorghum plantings as of March 31 in line with the recent past and oat plantings were below last year but on par with the fouryear average.
The vast majority of cash fed trade took place on Thursday morning and early afternoon ahead of the market closures of Good Friday. The small volume of sales earlier in the week developed in the South Plains at $125 live and $202 dressed, but the bulk of the trade on Thursday went for $127-129 live and $203-204 dressed.
The most recent Cattle on Feed report was released Friday, March 22 by USDA. The report covered the number of cattle on feed as of March 1 in feedlots with a 1,000-head or greater capacity, as well as the number placed on feed in, and marketed from, such feedlots during the course of February.
Some of the largest increases, percentage wise, come from increased planting in Arkansas, Mississippi and other Delta states as farmers switch from cotton to corn. USDA expects farmers in Illinois, Indiana, Missouri, Kansas, South Dakota and Nebraska to plant slightly less corn than last year.
The book “Who Will Feed China?: Wake-up Call for a Small Planet,” authored by Lester Brown in 1995, was a surprising wake-up call about world food security. Brown claimed that food production was not growing fast enough to feed China’s increasing population, which could result in rising food prices in China and the rest of the world.
The USDA Cold Storage report came out Friday, March 22 and reported on the red meat and poultry in cold storage for February. Overall red meat in cold storage was up 3 percent in February 2013 versus February 2012 with 1.15 billion pounds. This represented 52.
“The continued growth in farm loans demonstrates the important role banks play in the success of farms and ranches both large and small,” said John Blanchfield, senior vice president and director of ABA’s Center for Agricultural and Rural Banking. “Banks remain the most important source of ag credit holding more than half of all farm loans.
The cash fed cattle trade was slow to develop last week with only a few bids having been offered by Thursday. Asking prices from cattle feeders were decidedly at $130 live and $205 dressed with bids of $125 live being ignored.
The most recent World Agricultural Supply and Demand Estimates (WASDE) report was released Friday, March 8. The report held few surprises in red meat and crops, but poultry changes—particularly of broilers and turkey— drew attention.
Cash fed cattle trade developed sporadically throughout the week, starting on Monday with a few loads sold in Texas at $128 live. This was called too small to set the market and perhaps was cleanup trade from the prior week. Offers started the week at $130 live and $206-207 dressed.
The first to move was Russia, which notified the U.S. and other countries in December that they were required to certify that their pork and beef exports were free of ractopamine residues. When the U.S. government did not implement a program for certifying exports, Russia closed its market to imports of beef and pork from the U.
The most recent Cattle on Feed (COF) report was released Friday, Feb. 22. It detailed the number of cattle on feed in feedlots with a 1,000-head or greater capacity as of Feb. 1 and the number of cattle placed on feed and marketed from such feedlots during the month of January.