Date: August 30, 2023
Livestock futures were mixed on Tuesday on fairly tight trading ranges. Feeders showed no follow through buying after all contracts, except the soon to expire August, made new contract highs on Monday. Showlists look smaller again this week and slaughter will be light next week with the Labor Day holiday. Beef prices seasonally start trending lower as summer grilling winds down. Cash trade could still improve this week though. Very light cash trade only so far this week in the North at $186 live.
Oklahoma National Stockyards Feeder Cattle – Oklahoma City, OK
Livestock Weighted Average Report for 8/28/2023 – Final
This Week: 5,598 Last Week: 5,259 Last Year: 7,954
Compared to last week: Feeder steers 1.00 higher, 600-700 lbs 4.00 higher. Feeder heifers 1.00 – 3.00 higher. Demand moderate to good. Quality average to attractive and improved from last week. Steer and heifer calves lightly tested last week and sales this week up to 10.00 higher on some offerings. 7 weight index steers averaged $246 and 8 weights averaged $242-$246.
Tulsa Livestock Auction – Tulsa, OK
Livestock Weighted Average Report for 8/28/2023 – Final
This Week: 5,598 Last Week: 5,259 Last Year: 7,954
Compared to last week: Steers 7.00-9.00 higher. Heifers 6.00-8.00 higher. Quality good, several attractive. Demand good. Slaughter cows 4.00-6.00 higher. Slaughter Bulls 5.00-7.00 higher.
Joplin Regional Stockyards Feeder Cattle – Carthage, MO
Livestock Weighted Average Report for 8/28/2023 – Final
This Week: 4,943 Last Week: 3,529 Last Year: 5,092
Compared to last week feeder steers under 625 lbs. sold 13.00-20.00 higher with heavier weights steady to 3.00 higher. Feeder heifers sold 8.00-16.00 higher. Supply was moderate with very good demand. 7 weight index steers averaged $257 and 8 weights averaged $239-$246.
Sioux Falls Regional Cattle Auction – Worthing, SD
Livestock Weighted Average Report for 8/28/2023 – Final
This Week: 4,468 Last Week: 1,691 Last Year: 1,873
Compared to two weeks ago: Feeder steers, light sales the last few weeks make it hard to call a market. Not many matching weight ranges make it difficult to make a meaningful call. Feeder heifers 800 lbs – 950 lbs 1.00 to 3.00 higher, 950 lbs – 1000 lbs 3.00 to 5.00 lower, other weights not well compared. 7 weight index steers averaged $260 and 8 weights averaged $247-$255.
Cattle slaughter on Tuesday estimated at 125,000 head, up 1,000 from last week but down 2,000 from last year. Hog slaughter on Tuesday estimated at 470,000 head, down 6,000 compared to a week ago and down 10,000 compared to a year ago.
Boxed beef cutout values lower on moderate demand with 107 loads sold.
Choice Cutout -2.68 @ 314.36, Select Cutout -2.41 @ 289.68
CME Feeder Cattle Index @ 249.12, Lean Hog Index @ 92.41
Pork Carcass Cutout -3.20 @ 92.85
August live cattle will expire tomorrow and looks to hold the recent trading range from $179.50 to $181.50. October will then be the front month with support at $178, resistance at $183.40 and the contract high from July 20th at $185.75. August feeders again the only feeder contract unable to make new highs this week with the contract high at $251.30. The September contract hit a new contract high on Monday at $255.22 with support down at $250 then $248. October lean hogs recent low at $77.75 with resistance at $83.12 then $86.75.
Grains all lower on Tuesday taking back all the gains made Monday for both corn and soybeans. USDA on Monday afternoon reported national G/E crop conditions down only 2% for corn and 1% for soybeans. ECB states showed improvement as WCB states continue to deteriorate rapidly under the hot and dry conditions. There were also a few stray showers around the high pressure parked over the Corn Belt and some rain chances now in the forecast for early next week from NE up to MN. All three wheat markets sharply lower and into either new recent or new contract lows. Russian wheat prices have of course been the cheapest for sometime but now discounts are building in Bulgaria, Romania and France with Matif or Paris milling wheat futures over $10/MT below the latest Russian offers.
Grains were mostly higher overnight with corn finishing 2 to 3 higher, soybeans 4 to 6 higher and wheat 2 lower to 7 higher. Outside markets have equities higher, US$ lower and energies steady to higher with crude up $.50/barrel. USDA reported a private sale of 266,000 MT or 9.8 MBU of new crop soybeans for delivery to unknown destinations. Egypt is tendering for wheat and current offers show the lowest prices for French or Romanian.
Weather this week remains mostly dry as temps warm back up into the 90’s then potentially triple digits again by the weekend. Hurricane Idalia hitting western Florida this morning at CAT 3 to 4 strength and forecasts for storm surge at 10-15ft. The hurricane looks to track across Florida and then up the East Coast bringing heavy rains to Georgia, South and North Carolina before heading East into the Atlantic Ocean. The 6-10 day outlook showing above normal temps from the Rockies to the East Coast with below normal temps out West and below normal moisture from the Southwest to the East Coast with above normal moisture from the PNW to Minnesota.
December corn holding the support so far with the August low down at $4.73 ½ and resistance at $5.07 ½. November soybeans filled the gap from Sunday night before reversing higher overnight with nearby support at $13.70 and resistance at Monday’s high at $14.09 ½. September KC wheat a new recent low so far this morning at $7.11 with resistance at $7.62 ½. September Chicago wheat a new contract low on Tuesday at $5.68 ¾ with resistance at $6.20. September MPLS wheat a new contract low overnight at $7.50 with resistance at $8.03. September soybean meal has support at $414 with resistance at $428.
Loewen and Associates, Inc.
Pete Loewen / Matt Hines / Doug Biswell / Tyson Loewen
www.loewenassociates.com matt@loewenassociates.com
785-537-3336
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