Date: June 5, 2024
Livestock futures were mixed on Tuesday but finished mostly lower throughout with minor losses to both fats and feeders and triple digit losses for nearly every lean hog contract. Cattle futures have spent the past couple trading sessions trading in fairly tight ranges and looking for direction this week. Last week’s cash fed cattle trade was overall $1 to $3 lower with the weighted average reported at $188.83 live and $301.20 on a dressed basis. Only very light volume reported so far this week in the WCB at $190 live. Lean hogs continue to drift lower, breaking nearby support yesterday for a new 5-month low.
Oklahoma National Stockyards Feeder Cattle – Oklahoma City, OK
Livestock Weighted Average Report for 6/3/2024 – Final
Total Receipts: 7,170 Last Report 5/20: 6,751 Last Year: 10,248
Compared to the last sale two weeks ago: Steers over 750lbs steady to 3.00 higher. Steers under 750lbs 3.00-7.00 higher. Heifers over 650lbs 1.00-3.00 lower. Heifers under 650lbs 3.00-7.00 higher. Demand moderate to good. 7 weight index steers averaged $258-$269 and 8 weights averaged $236-$247.
Joplin Regional Stockyards Feeder Cattle – Carthage, MO
Livestock Weighted Average Report for 6/3/2024 – Final
Total Receipts: 13,367 Last Report 5/20: 9,804 Last Year: 12,793
Compared to the sale 2 weeks ago feeder steers under 600 lbs. sold steady to 5.00 lower with heavier weights selling 3.00-7.00 higher. Feeder heifers under 600 lbs. sold 2.00-7.00 lower. Heavier weights sold 2.00-8.00 higher. Supply was heavy with very good demand. 7 weight index steers averaged $257-$263 and 8 weights averaged $239-$252.
Kingsville Livestock Auction – Kingsville, MO
Livestock Weighted Average Report for 6/4/2024 – Final
Total Receipts: 3,658 Last Week: 2,158 Last Year: 4,465
Compared to last week’s higher market, steer calves under 650 lbs lost the gains from last week and sold 5.00-15.00 lower but steers over 650 lbs sold steady to 5.00 higher. Heifers followed a similar trend with the calves under 600 lbs 5.00-10.00 lower and heavier weights steady.
Ozarks Regional Stockyards Feeder Cattle – West Plains, MO
Livestock Weighted Average Report for 6/4/2024 – Final
Total Receipts: 2,949 Last Week: 1,836 Last Year: 3,973
Compared to last week, steer and heifer calves under 700 lbs. sold steady to 4.00 higher. Feeder calves over 700 lbs. were not well tested however undertones were steady to firm. Demand was good on a moderate supply.
Cattle slaughter on Tuesday estimated at 123,000 head, matching last week but down 2,216 from last year. Hog slaughter estimated at 481,000 head, up 6,000 compared to a week ago and up 11,568 compared to a year ago.
Boxed beef cutout values on Tuesday higher on good demand with 143 loads sold.
Choice +1.28 @ 316.88, Select +.77 @ 304.47
CME Feeder Cattle Index 250.89
CME Lean Hog Index 91.93
Pork Carcass Cutout -.67 @ 100.76
June live cattle up to a new 2-month high back on May 23rd at $184.67 with resistance next around $186 and support at $178. August feeders up to a new 2-month last week at $264.95 with resistance next at $271 and support at $249. June lean hogs down to a new 5-month low yesterday at $92.42 with support next at $91 and resistance at $96.
Grains again lower on Tuesday, this time led by a collapsing wheat markets. Corn and soybeans both finishing lower for the 6th consecutive day. U.S. weather has improved and corn conditions reported by USDA Monday after the close at 75% good to excellent. Most of the bearish chatter recently centered on a lack of export demand, especially for soybeans, and potential for increased soybean acres due to very wet spring conditions across the Corn Belt. Russian wheat crop and weather is still a bullish story which shot U.S. wheat futures to their highest levels since the fall of 2023. Egypt tendered for wheat earlier this week, buying 470,000 MT or 17.3 MBU from Ukraine, France, Romania and Bulgaria with the average price at $301.74/MT delivered or $8.21/BU. This compares to U.S. 12 pro HRW offered from the gulf around $8.70/BU delivered.
Grains traded both sides of unchanged overnight, finishing 1 lower to 1 higher for corn and wheat and 3 to 6 higher for soybeans. Outside markets have equities lower, US$ higher, and energies higher with crude oil up $.30/barrel. The weekly EIA report coming out later this morning with expectations for ethanol production to be 1-2% lower than last week, demand a little lighter and a small build in stocks.
Heavy rains isolated at best and centered on Southern Plains this week. The 6-10 day outlook shows above normal temps for the western half of the U.S. and below normal for the eastern half with above normal moisture in the Mountain West and Southern Plains and below normal from the PNW, across the Northern Border States and down into the Corn Belt.
July corn down to a new recent low on Monday at $4.39 with support next at $4.36 and resistance around $4.70. July soybeans down to a new recent low on Tuesday at $11.76 with support at $11.70 and resistance at $12.55. July Chicago wheat up to a new high last week at $7.20 with support at $6.50. July KC wheat a new high last week at $7.46 ¼ with support at $6.60. July MPLS wheat up to a new 6-month high last week at $7.67 ¾ with resistance next at $7.72 ½ and support at $7.10. July soybean meal down to test support at $355 the past couple days with resistance up at $390.
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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