Date: November 1, 2023
Livestock markets closed mostly higher on Tuesday along with the fall crops as wheat futures continued lower. Deferred live cattle futures showed the most price support at the end of trading day as feeders began under pressure from higher grains but inched higher into the close. No cash fed cattle has developed yet this week as most expect trade to hold off until the end the week as we enter a new month today and available supply via contracting. No bids are available yet and asking prices are starting at $187 live.
Joplin Regional Stockyards Feeder Cattle – Carthage, MO
Livestock Weighted Average Report for 10/30/2023 – Final
This Week: 2,680 Last Week: 4,425 Last Year: 5,692
Compared to last week feeder steers sold steady with feeder heifers under 600 lbs. selling 6.00-10.00 higher with heavier weights steady. 7 weight index steers averaged $248 and 8 weights averaged $235.
Oklahoma National Stockyards Feeder Cattle – Oklahoma City, OK
Livestock Weighted Average Report for 10/30/2023 – Final
This Week: 2,023 Last Week: 6,382 Last Year: 6,565
Compared to last week: Numbers limited this week due to heavy rains that that moved in last week and over the weekend. Sharply colder temperatures upon us as well and much of the state seeing a hard freeze this week. Some areas of the state seeing as much as 10 inches of rain. Feeder cattle and calves not well tested.
Sioux Falls Regional Cattle Auction – Worthing, SD
Livestock Weighted Average Report for 10/30/2023 – Final
This Week: 1,005 Last Week: 1,813 Last Year: 3,619
Compared to last week: A lighter offering of steer and heifer calves again this week, firm undertones prevailed. A nice offering of yearling steers and heifers including several long strings of steers offered in full loads and multiple load lots, flesh condition moderate to moderate plus. Improved demand for calves this week as there were more buyers on the seats wanting to get some calves bought.
Ozarks Regional Stockyards Feeder Cattle – West Plains, MO
Livestock Weighted Average Report for 10/31/2023 – Final
This Week: 1,880 Last Week: 1,731 Last Year: 2,697
Compared to last week, steer and heifer calves under 700 lbs. sold 8.00-12.00 higher with spots 16.00 higher. Yearling steers were 5.00 higher with yearling heifers not well tested. Demand was good on a light supply. Four and five weight steer calves were back in the 3.00 range. One stick-out draft was 58 hd. of 458 lb. black steers that brought 324.00/cwt. The largest draft of the day was 228 head of 937 lb. yearling steers which brought 226.50/cwt.
Philip Livestock Auction – Philip, SD
Livestock Weighted Average Report for 10/31/2023 – Final
This Week: 5,278 Last Week: 7,607 Last Year: 9,426
Compared to last week Feeder Steers under 500 10.00 to 15.00 higher, 500 to 550 8.00 to 10.00 higher, 550 to 600 Steady to 6.00 higher, 600 to 650 2.00 to 4.00 higher, 650 to 700 4.00 to 6.00 higher, Feeder Heifers under 450 10.00 to 15.00 higher, 450 to 500 6.00 to 8.00 higher, 500 to 550 Steady to 2.00 higher, 550 to 650 4.00 to 6.00 higher. Very Good Demand for Several Long Strings and Many Load Lots and Packages of Feeder Steers, Feeder Heifers, and Replacement Heifers which sold on an Active to Very Active Market
Cattle slaughter on Tuesday estimated at 125,000 head, down 1,000 from last week and down 4,000 from last year. Hog slaughter on Tuesday estimated at 487,000 head, up 4,000 compared to a week ago and up 5,000 compared to a year ago.
Boxed beef cutout values on Tuesday lower on good demand with 140 loads sold.
Choice Cutout -4.10 @ 305.18, Select Cutout -1.39 @ 279.50
CME Feeder Cattle Index @ 237.23, Lean Hog Index @ 77.13
Pork Carcass Cutout -1.38 @ 86.48
December live cattle down to a recent low last week at $177.30, dropping $14.75 from the contract high back on September 19th at $192.05. There is still a gap on the chart from $184.12 to $184.42 that has been getting filled in this week with resistance next at $188. November feeders holding support so far with last week’s low at $234.22, a drop of $34 from the contract high back on September 15th. Nearby resistance though this past week at $239.27 with the next up at $253.80. December lean hogs hit a new contract low on October 20th at $65.40. The rally since looks more like a technical bounce than fundamentally supported with nearby resistance at $73.67.
The soy complex continues to be the leader higher for the grains and wheat the leader lower. KC wheat into new recent lows, Chicago taking out the higher recent trend and MPLS into new contract lows. China stepping up wheat imports this year as roughly 20% of their crop was damaged. Right now though Australia and France account for over 5 MMT while only 1 MMT has been purchased from Canada and the U.S. combined. Midwest weather will dry out allowing harvest to continue here in the U.S. South American weather is called decent with recent rains in Argentina and dry parts of central Brazil but southern Brazil needs to dry out after recent heavy rains and flooding. Replanting certainly receiving some chatter and some concern over what could be delayed 2nd crop corn planting, but not enough to start weather rally.
Grains traded both sides of unchanged overnight but finished steady to higher. Corn finished the overnight steady to 1 higher, soybeans steady to 2 higher and wheat 3 to 7 higher. Outside markets have equities lower, US$ higher and energies higher with crude oil up $2/barrel.
Wheat markets holding support at yesterday’s lows while corn and beans continue to chop sideways over this past week. Markets seem stuck and looking for better direction right now. The next USDA crop reports coming next Thursday. Later this afternoon, USDA will release September domestic usage reports…soy crush, corn used for ethanol and wheat milling. Also, today the FED will announce any adjustments to interest rates as most are expecting no change through the end of the year.
Record low temps hit overnight in NE KS but warm and dry weather heading into the weekend. There is some scattered moisture expected again early next week across the Corn Belt and the eastern half of the U.S. The 6-10 day outlook showing above normal temps south and west and below normal temps north and east with above normal precipitation from the PNW to the Southeast and below normal from the Southwest to the Gulf.
December corn down to $4.75 this morning with the contract low at $4.67 ¾ and resistance at $4.88 then $5.09 ½. November soybeans have nearby support at $12.76 then the October low at $12.50 ½ with resistance at $13.18 ½. December Chicago wheat taking the short-term higher trend this week with support around $5.50 then the contract low at $5.40 and resistance at $6.04 ½. December KC wheat hitting a new recent low again yesterday at $6.25 ½, the contract low at $6.21 and resistance at $6.88. December MPLS wheat hit a new contract low yesterday at $7.03 ¼ with resistance at $7.46. December soybean meal up to a new contract high last Friday at $448.40 with nearby support down at $422.
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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