Date: February 14, 2024
Cattle futures pulled lower on Tuesday after hitting or near new recent highs again on Monday. Only very light volume cash fed cattle trade reported in the North at $180 live. Last week’s trading ranged from $180 to $182 live and $285 to $289 dressed. Beef prices were lower and corn steady to higher which led to the cautious trading for cattle futures.
Joplin Regional Stockyards Feeder Cattle – Carthage, MO
Livestock Weighted Average Report for 2/12/2024 – Final
This Week: 13,125 Last Week: 15,578 Last Year: 9,452
Compared to last week feeder steers sold 4.00-9.00 higher. Feeder heifers sold 4.00-12.00 higher. Supply was heavy with very good demand. 7 weight index steers averaged $244 to $253 and 8 weights averaged $232 to $236.
Oklahoma National Stockyards Feeder Cattle – Oklahoma City, OK
Livestock Weighted Average Report for 2/12/2024 – Final
This Week: 7,632 Last Week: 12,669 Last Year: 9,912
Compared to last week: Feeder steers and heifers sold mostly steady to weak. Steer and heifer calves traded 2.00-4.00 higher from last week’s sharply higher market. Demand good for all classes. Quality plain to average. 7 weight index steers averaged $243 to $250 and 8 weights averaged $230 to $235.
Sioux Falls Regional Cattle Auction – Worthing, SD
Livestock Weighted Average Report for 2/12/2024 – Final
This Week: 6,543 Last Week: 5,720 Last Year: 5,651
Compared to the sale last week: Light steers 550-700 lbs were mostly 1.00-3.00 higher. Heavier steers 750-950 lbs mostly steady to 2.00 higher with instances 8.00 higher. Light heifers 600-650 lbs were 1.00 lower with instances 6.00 lower. Flesh condition contributing to market prices today. Heifers 700-750 lbs were 6.00 higher. 7 weight index steers averaged $256 to $262 and 8 weights averaged $232 to $240.
Kingsville Livestock Auction – Kingsville, MO
Livestock Weighted Average Report for 2/13/2024 – Final
This Week: 4,946 Last Week: 4,245 Last Year: 3,826
Compared to last week, the majority of weight groups of steers and heifers again, sold 5.00-10.00 higher but there were some spots up to 15.00 higher. Demand was very good again this week. Supply was heavy, even with colder temps and historical high prices, producers were encouraged to move cattle. The quality and condition again this week was extremely good.
Cattle slaughter on Tuesday estimated at 125,000 head, matching last week but down 301 from last year. Hog slaughter on Tuesday estimated at 486,000 head, down 6,000 compared to a week ago but up 11,181 compared to a year ago.
Boxed beef cutout values on Tuesday lower on moderate demand with 108 loads sold.
Choice Cutout -1.81 @ 292.27, Select Cutout -1.72 @ 285.30
CME Feeder Cattle Index @ 246.87, Lean Hog Index @ 74.11
Pork Carcass Cutout -1.38 @ 87.16
February live cattle up to a new recent high last Friday at $184.95, taking out the 62% retracement level, with resistance next at $186.65, the last gap remaining on the chart from there up to $187.52 and support at $179.50 then $177. March feeders up to a new recent high on Monday at $249.90, also taking out the 62% retracement level last week, with resistance next at $258 and support at $242 then $238. February lean hogs set to expire today right around the $74 level. April lean hogs will then be the front month, holding a long-term lower trend that looked like it would be taken out back in late January. The recent high from January 30th is at $85.92 then crashing down to a recent low on February 8th at $79.67.
Grains were mixed on Tuesday, choppy sideways trading continues. Outside markets were negative though as the US$ shot up to new 3-month highs on higher inflation numbers and markets now leaning away from the FED cutting rates. The weekly energy report will out later this morning with most expecting week over week increases in ethanol production again. South American weather forecast unchanged with normal precip and temps for Brazil while Argentina remains hot and dry. Private estimates continue to reduce both countries’ crop production estimates which are already sharply lower than the current USDA estimates.
Grains lower overnight with new contract lows for corn, KC wheat and MPLS wheat and new recent lows for soybeans. Chicago wheat actually posted to largest losses but still some $.30 away from the contract low back in late November. Corn finished 2 lower, soybeans 3 to 4 lower and wheat 7 to 13 lower. Outside markets have equities higher, US$ steady and energies higher with crude oil up $.40/barrel. The US$ posted a massive key reversal higher yesterday, that did not pressure grains yesterday but the lack of new news, end of the Goldman roll this month and the dollar still trading up near yesterday’s highs overnight providing pressure here today. Pressure could also be coming from an expected bearish USDA outlook over the next couple days. Its hard not to project higher ending stocks for corn, beans and wheat without some major weather disruptions this spring/summer.
Heavy rains continue on the West Coast over this next week with scattered precip in the forecast over the eastern half of the U.S. The 6-10 day outlook has above normal temps centered on the Southern Plains and normal to above normal across the country with above normal precip still on the West Coast and below normal through the middle of the U.S.
March corn down to a new contract low overnight at $4.27 with resistance at $4.42 then $4.48. March soybeans down to a new recent low overnight at $11.75 ¾ with support at $11.75 then the contract low from last summer at $11.45 ¼, nearby resistance at $12.23. March Chicago wheat chopping sideways the past couple months with support at $5.73 and resistance at $6.17. March KC wheat down to a new contract low overnight at $5.79 ¼ with resistance around $6.40. March MPLS wheat down to a new contract low overnight also at $6.61 ¾ with resistance at $6.98. March meal down to a new recent low last week at $341 with resistance around $370.
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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