USA: Cattle market review for week 38 from September 25, 2023

CME October live cattle futures rose 2.100 cents to 187.075 cents a pound, while the most active December contract ended up 1.850 cents at 191.350 cents. Both contracts hovered near the highs set on Tuesday.

After the market closed, the US Department of Agriculture (USDA) reported in its monthly report that the number of cattle in US feedlots as of September 1 was 11.094 million HEAD, or 97.8% of the level a year ago, which is close to the average estimate of respondents analysts -97.7%.

The USDA reported feedlot placement in August was 94.9% year over year, higher than the average trade estimate of 93.6%, and August sales were 94% year over year, up from last year. below the average trade estimate of 94.7%.

USDA data, relatively close to traders' expectations, looked fairly neutral for futures and confirmed that feedlot cattle numbers remain lower than a year ago after drought reduced the size of the US cattle herd, Dan said. Norcini and independent trader.

“From a livestock supply perspective, it's certainly not a burden,” Norcini said. “Basically, supply is so low that people want to keep buying (futures).”

Managed commodity funds increased their net long position in live cattle futures over the past week, Commodity Futures Trading Commission data showed Friday.

Wholesale beef prices have strengthened . Select boxed beef trim increased $1.40 to $303.33 per cwt on Friday, according to the USDA. Livestock slaughter for the week was 612,000 head, compared to 637,000 head a year earlier.

WEEKLY COST OF CUTTINGS CAT.CHOICE

CATTLE SALES

Sale of livestock, heads

Average weight

Week 37

Week 38

Weekly growth,%

Week 37

Week 38

Weekly growth,%

Bulls (live weight)

9 855

21,396

117.1%

1,509

1 468

-2.7%

Heifers (live weight)

2 203

9 364

325.1%

1 323

1 304

-1.4%

Steers (slaughter weight)

355

10,027

2724.5%

937

949

1.3%

Heifers (slaughter weight)

223

3 283

1372.2%

807

840

4.1%

WEEKLY WEIGHTED AVERAGE PRICE OF CALLS

BEEF PRODUCTION

Index

Week 38

Week 37

Week 38 2022

Weekly growth,%

Growth over the year, %

Slaughter volume

625,000

632,000

671,000

-1.1%

-6.9%

Live weight

1 358

1 356

1,367

0.1%

-0.7%

Slaughter weight

826

824

829

0.2%

-0.4%

Beef production (million pounds)

515.0

519.6

555.0

-0.9%

-7.2%

CME: Live Cattle Futures

Week 37

Week 38

Weekly growth,%

October

186.93

187.08

0.1%

December

191.83

191.35

-0.3%

February

196.33

195.55

-0.4%

Feeder cattle futures

September

257.38

254.10

-1.3%

October

264.48

259.15

-2.0%

November

268.13

263.53

-1.7%

You can find out more about the state of the cattle market in the usa (livestock prices, the cost of beef by category, production dynamics) in the weekly reviews of the MEAT market in RUSSIA and in the world from Meatinfo.ru. Weekly reviews are available for free as part of a subscription to monthly meat analytics Russian markets.