FRIDAY AFTERNOON MARKET UPDATE
Feb. 27 -- cash live cattle trade Friday morning was largely inactive. USDA’s mandatory price reporting (MPR) service reported that Nebraska sold 344 head for a weekly total of 8694 head. Iowa-southern Minnesota sold 571 head for a weekly total of 8092 head. Kansas sold 130 head for a weekly total of 1166 head. Texas sold no cattle for a weekly total of 102 head. The MPR weekly totals include negotiated cash and grid sales.
Live cattle futures closed mixed. February expired down 312 points at $158.00 per cwt (versus $156.70 last Friday), April closed up 190 points at $151.70, June closed up 90 points at $143.85, August closed up 25 points at $142.05, October closed down 15 points at $145.07 and December closed up 2 points at $145.87.
The week’s cattle slaughter was an estimated 523,000 head (versus 569,634 head last year), with Friday’s kill 102,000 head and Saturday’s kill 4000 head. Year to date FI slaughter is an estimated 4.507M head, down 7.0% or 338,000 head from 2014’s 4.845M head. Hog slaughter year to date is up 1.8% or 338,000 head on last year.
Boxed beef cutout values were firm on moderate to fairly good demand and moderate offerings. The Choice cutout increased $0.55 per cwt from the day before to $247.58 per cwt (versus $240.31 last Friday) and the Select cutout increased $0.67 to $245.57 (versus $237.79 last Friday). The Choice-Select price spread was $2.01 versus $2.52 last Friday. The reported spot boxed beef trade for the week was 428 loads of fabricated cuts, down 24.6% from the 568 loads last week.
Packer margins for the week were negative by $45.09 per head, compared to a negative $106.06 the week before, according to HedgersEdge.com.
Have a good week,