Cattle Extend Pullback on Wednesday

Live cattle futures saw weakness into the Wednesday session, as contracts were down $2.10 to $3.77. Cash trade has yet to get kicked off this week, with a few $224 live bids in the South and $345-348 dressed bids in the North. The Wednesday Fed Cattle exchange online auction showed no sales or bids on the 1,514 head offered. Feeder cattle futures posted $1.80 to $6.72 losses across the board on the session. The CME Feeder Cattle Index was back up $1.16 on September 15 to $342.74. 

USDA will release their monthly cattle on feed report on Friday, with August Placements seen 3.3% lower and marketings down 4%. September 1 cattle on feed inventory is estimated to be up 1.7% from a year ago.

Wholesale Boxed Beef prices were weaker in the Wednesday afternoon  report, with the Chc/Sel at $21.24. Choice boxes were down 27 cents at $375.81, with Select $1.79 lower to $355.57. USDA estimated Federally inspected cattle slaughter for Wednesday at 102,000 head, taking the weekly total to 313,000. That is well above the previous week due to the holiday but 37,998 head below the same week last year.

Oct 26 Live Cattle  closed at $218.450, down $2.250,

Dec 26 Live Cattle  closed at $220.200, down $3.150,

Feb 27 Live Cattle  closed at $220.900, down $3.775,

Sep 26 Feeder Cattle  closed at $338.475, down $1.800,

Oct 26 Feeder Cattle  closed at $329.650, down $4.200,

Nov 26 Feeder Cattle  closed at $323.100, down $5.800,

On the date of publication, Austin Schroeder 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 Barchart Disclosure Policy here.