Cattle Falling Lower on Thursday

Live cattle futures are back down $1 to $1.30 so far on Thursday. Cash trade has been reported anywhere from $195 in the south early to more recent sales of $197. Northern action has been quiet, with $195-196 bids across the country this morning. Thursday morning’s online Fed Cattle Exchange auction from Central Stockyards, showed sales on 3 lots at $197 using their BidTheGrid™ method. Feeder cattle futures are trading with midday losses of $2 to $2.65 so far on Thursday. The CME Feeder Cattle Index was back down 88 cents on Tuesday, with the average price at $277.87.

President Trump is delaying putting a pause on all tariffs that fall under the USMCA umbrella from Mexico by a month. There has not been any mention of a reprieve on the Canadian tariffs, though previous statements have indicated there was an exemption likely. 

USDA Export Sales data showed a total of 13,393 MT in beef bookings in the week of 2/27, a 3-week low and the third lowest for the MY. Shipments were at 13,203 MT, the second lowest this MY.

Beef exports during January totaled 230.19 million lbs according to Census data converted to a carcass basis. That was the lowest January total since 2017 and down 11.1% from December.

The USDA National Wholesale Boxed Beef prices were mixed in the Thursday morning report, with the Chc/Sel spread narrowing to $7.01. Choice boxes were down 21 cents at $313.33/cwt, with Select $3.78 higher at $306.31. The Wednesday Federally inspected cattle slaughter from USDA was estimated at 120,000 head, taking the weekly total to 345,000 head. That is 6,000 head above the previous week, but still down 19,320 head from the same week last year.

Apr 25 Live Cattle  are at $195.350, down $1.200,

Jun 25 Live Cattle  are at $191.700, down $1.000,

Aug 25 Live Cattle  are at $190.050, down $1.225,

Mar 25 Feeder Cattle  are at $273.450, down $2.650

Apr 25 Feeder Cattle  are at $273.550, down $2.525

May 25 Feeder Cattle  are at $272.825, down $2.250