Date: November 30th, 2022
Mixed livestock futures on Tuesday with some recovery for feeders as corn spent most of the day in the red. Only light volume cash fed cattle trade so far this week at $153.50 live with most in TX and KS starting with asking prices from $156 to $157, another couple dollars higher than last week’s trade.
Oklahoma National Stockyards Feeder Cattle – Oklahoma City, OK
Livestock Weighted Average Report for 11/28/2022 – Final
This Week: 6,254 Last Week: 8,769 Last Year: 10,817
Compared to last week: Feeder steers and heifers 1.00 – 3.00 higher with instances 6.00 – 10.00 higher. Steer calves 3.00 – 7.00 higher. Heifer calves steady to 3.00 lower. Quality average to attractive. 7 weight index steers averaged $179-$184 and 8 weight index steers averaged $168-$177.
Tulsa Livestock Auction – Tulsa, OK
Livestock Weighted Average Report for 11/28/2022 – Final
This Week: 3,409 Last Week: 3,351 Last Year: 3,761
Compared to last week: Steers and Heifers mostly steady. Quality good. Demand good. Slaughter cows 3.00-5.00 higher. Slaughter bulls mostly steady. 7 weight index steers averaged $167-$173.
Sioux Falls Regional Cattle Auction – Worthing, SD
Livestock Weighted Average Report for 11/28/2022 – Final
This Week: 3,850 Last Week: 2,017 Last Year: 2,893
Compared to last week: Feeder steers and heifers 2.00 to 6.00 lower, except 400 lbs – 500 lbs steers 2.00 to 4.00 higher, over 900 lbs steers were not compared well, but sold with definite high undertones. Demand for this eye appealing offering of green cattle was good. Black hided cattle draw the biggest demand. 7 weight index steers averaged $179.
Joplin Regional Stockyards Feeder Cattle – Carthage, MO
Livestock Weighted Average Report for 11/28/2022 – Final
This Week: 10,063 Last Week: 11,936 Last Year: 8,342
Compared to last week feeder steers under 800 lbs. traded steady with heavier weights trading steady to 2.00 lower. Feeder heifers under 475 Lbs. traded steady to 3.00 higher with heavier weights trading steady. 7 weight index steers averaged $179-$180 and 8 weight index steers averaged $173-$176.
Ozarks Regional Stockyards Feeder Cattle – West Plains, MO
Livestock Weighted Average Report for 11/29/2022 – Final
This Week: 3,211 Last Week: 1,565 Last Year: 3,390
Compared to last week, steer and heifer calves traded 3.00-6.00 higher. Yearlings were lightly tested, however undertones were steady to firm. Demand was good on a moderate supply.
Miles City Livestock Commission Auction – Miles City, MT
Livestock Weighted Average Report for 11/29/2022 – Final
This Week: 3,002 Last Week: 3,322 Last Year: 3,790
Compared to last week: Steer calves under 550 lbs sold mostly 8.00-10.00 higher, with the exception of 450-499 lbs steers which sold steady to firm, steers over 550 lbs sold generally steady. Heifer calves under 450 lbs sold mostly 5.00 lower, heifers over 450 lbs sold mostly 3.00-6.00 higher. Quality today was mostly average to attractive.
Cattle slaughter on Tuesday estimated at 128,000 head, down 1,000 from last week but up 4,000 from last year. Hog slaughter on Tuesday estimated at 494,000 head, up 2,000 compared to a week ago and up 15,000 compared to a year ago.
Boxed beef cutout values on Tuesday higher on Choice but lower on Select on strong demand with 152 loads sold.
Choice Cutout__254.74 +.21
Select Cutout__225.82 -2.71
CME Feeder Cattle Index__178.85 +1.66
CME Lean Hog Index__82.60 -.33
Pork Carcass Cutout __85.68 -3.84
December live cattle up to a new contract high last Wednesday at $154.72 and holding support this week at the 20-day moving average currently at $152.40 with the next down at $151. January feeders remain very choppy with a new recent high last week at $183.07, resistance next up at $185.40 and support at $176.32. December lean hogs breaking the recent range bound trading pattern and into a new recent low on Monday at $80.60. The next support level is down $76.50 with resistance up around $85.
Back and forth, mixed trades for the grains on Tuesday, somewhat lackluster as the markets look for new news to trade. Recent rain for Brazil and Argentina but back to dry conditions in the forecast for Argentina as many continue to reduce their production estimates. Wheat conditions were delayed until Tuesday afternoon with good to excellent nationwide only getting 2 points better and still sitting at the 2nd worst ratings heading into winter. Poor to very poor conditions did improve much more, down 7 points to 26%. Major improvements in TX, OK and CO yet KS got worse and now up to 43% of the wheat crop is rated poor to very poor.
U.S. and Mexico continuing talks about the Mexican ban on GMO corn coming in 2024. The U.S. has already threatened legal action stating this could violate the USMCA trade pact. Officials from Mexico stated yesterday that the ban was only focused on GMO yellow corn for human consumption.
U.S. senators from NE and MN introduced legislation that would expand nationwide sales of E15. For the first time the bill is supported by the oil industry yet still unknown if it has enough support to pass both the Senate and House.
Grains mostly higher overnight as I will call it a general commodity bounce. Energies are higher with crude back above $80/barrel after hitting a new low for the year on Monday at $73.60. Soybeans the leader higher, finishing the overnight 11 to 13 higher. Wheat was steady in MPLS, Chicago 2 to 4 higher and KC 4 to 6 higher. Corn finished a penny lower on the nearby December contract but 1 higher on all months. Today is first notice day for all December futures meaning no daily limits and volume getting thinner. USDA reported a private sale today of 136,000 MT or 5 MBU of soybeans for delivery to China.
Heavy rains shifting North into the Midwest by early next week with much below normal temps in the Northern Plains. The 6-10 day outlook showing above normal temps for the South and Southeast with below normal temps north and west and above normal moisture in the PNW and from TX running northeast up into the New England.
December corn trying to break the month long lower trend with choppy, sideways trading over the past couple weeks. Support is at $6.51 and resistance at $6.75. January soybeans breaking the range bound trading with a new recent high overnight at $14.77 ½, resistance next at $14.93 and support around $14.20. December KC wheat holding a lower tend with a new recent low on Tuesday at $8.96 ¼ and resistance at $9.40. December Chicago holding a steeper lower trend, a new recent low on Monday at $7.50 ¼, support next at $7.45 and resistance around the $8.00 level. December MPLS wheat testing the lower trend line this week with resistance at $9.70 and support at $9.29. December soybean meal has support at $402 and resistance at $415.
Loewen and Associates, Inc.
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