Although demand remains strong for calves and feeders—especially cattle suited to grazing—bearishness surrounding looming late spring and summer supplies of fed cattle helped pressure Cattle futures and buyer psychology this week.
Early in the week, Cattle futures rallied with fundamental logic surrounding tight front-end supplies, climbing wholesale beef values and expanding packer margins. The bears squealed louder, though, seeming to disregard domestic and international consumer beef demand, which have so far enabled the industry to remain current amid increasing supplies of total red meat and poultry.
Feeder steers and heifers traded mostly steady to $5 per cwt lower last week, according to the Agricultural Marketing Service (AMS). However, there were instances of steady to $4 higher for cattle geared for summer turnout
Feeder Cattle futures closed an average of $1.54 lower across the front half of the board, week to week on Friday, and then an average of 29¢ lower.
Listen to Wes Ishmael's Cattle Market Weekly Audio Report every Saturday morning on the BEEF magazine website. This is your report for Saturday, Mar. 10, 2018.