Grains Apparent Fades May Provide Juice for Cattle

The grain rally pushed the cattle market 20 cents to $1.05 lower to start the week. So far for Tuesday morning the grains are losing momentum and turning red, though overnight volume is limited. Yesterday, fats closed 20 cents to $1.05 in the red. Feeder cattle were down by more due to the grain strength, and ended the day with triple digit losses of at least $2.42. The cash cattle market is unestablished through Monday, though last week saw trade between $137 - $145 – mostly near $140 - $142. The CME Feeder Cattle Index for 4/13 was $155.95, up by 9 cents.  

Boxed Beef prices from USDA’s PM update were mixed tightening the spread to $11.62. Choice boxes were $1.54 weaker, and Select was 56 cents stronger. USDA estimates Monday’s FI cattle slaughter at 118k head. YTD slaughter was 9.69m head, 0.5% ahead of last year’s pace as of Saturday. 

Apr 22 Cattle  closed at $140.475, down $0.200,

Jun 22 Cattle  closed at $135.800, down $0.625,

Aug 22 Cattle  closed at $137.375, down $0.950,

Apr 22 Feeder Cattle  closed at $155.775, down $2.425

May 22 Feeder Cattle  closed at $159.150, down $2.625