Live cattle futures faded on Thursday past the April contract. April fats were up by 57 cents for the close, while the other nearby contracts ended 27 to 47 cents weaker. June futures are now a $3.87 discount to April. USDA confirmed 59k head of cattle sold on Thursday from $187 to $191.50. The bulk of action in the South was +$2 near $188, and the bulk in the North was mostly near $190. Feeder cattle futures closed the day with 30 to 80 cent losses across the front months, though March was up 62 cents to tighten the spread with the index. The CME Feeder Cattle Index was another 41 cents higher on 3/20 to $251.82.
Traders are looking for NASS to show March 1 on feed at 11.79m head, which would be 0.9% above last year if realized. Estimates for February placements range from a 4.5% increase to an 8.8% increase vs. Feb ’23. Feb marketings are expected to come in 3.8% over last year on average. The COF report release will be Friday afternoon.
USDA’s Export Sales report listed the week’s beef sales at 11k MT for the week of 3/14. That was slightly below the 11.2k MT sold last week and was down from the 18.6k MT during the same week last year. Beef commitments were up to 290.9k MT, which is now 8% behind last year’s pace.
USDA reported Wholesale Boxed Beef prices at $313.73 for Choice and at $303.73 for Select on Thursday afternoon. That was up by 29 cents and by $1.02 cwt. respectively. USDA reported the week’s FI cattle slaughter at 475k head through Thursday, a 2k head lead over last week’s pace but trailing the 504k head during the same week last year.
Apr 24 Cattle closed at $188.375, up $0.575,
Jun 24 Cattle closed at $184.500, down $0.275,
Aug 24 Cattle closed at $183.275, down $0.425,
Mar 24 Feeder Cattle closed at $250.875, up $0.625
Apr 24 Feeder Cattle closed at $254.625, down $0.300
On the date of publication, Alan Brugler did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Disclosure Policy here.
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