Prepared and written by Jeff Swenson, DATCP Livestock and Meat Specialist. The Market Update draws information from several sources, including trade publications, radio broadcasts, agricultural news services, individuals involved in the industry as well as USDA NASS and AMS reports.
Beef
The cattle markets gave reason to be bullish to wrap up 2024 but have lost some of their momentum. Wholesale beef prices continue to work lower with the Choice beef cutout value falling $7.31 last week to average $306.11. The cutout value is higher than last year but has lost $15 during the past three weeks. Negotiated trade was called $1.80 lower last week, but sales late in the week were $1 higher as packers looked to build inventory. There is an opportunity for cattle prices to move higher given the upcoming holidays. Beef traditionally competes with other proteins during this time. Consumers have been increasingly moving away from traditional meals, which will benefit beef.
The average retail price of beef in October was $8.11/pound in October, 3.6% lower than September and 0.7% lower than a year ago. The Harvest last week was estimated at 606,000 head. This is 13,000 fewer than the previous week and 14,000 fewer than last year. Packers increased harvest pace this week ahead of next week’s holiday shortened week. A monthly Cattle on Feed report will be released Friday after this Update has been sent. Placements were expected to be 3% greater than a year ago.
High Choice and Prime Beef
High Choice and Prime beef breed steers were steady to $1 lower, bringing $180-$185/cwt with some packages to $187/cwt and up. Choice steers and heifers ranged from $165-$180/cwt. Holstein steers were mixed. High grading steers brought $163-$172 with some higher. Lower grading steers brought $130-$163. Silage fed, under finished or heavy dairy breed steers brought $75-$130/cwt. Dairy x Beef steers were steady, bringing $136-$178 with a few to $183/cwt. Cows were steady to $1 higher. Most of the cows brought $84-$109/cwt with some to the $130s/cwt. Lower yielding cows brought $69-$84. Doubtful health and thin cows brought up to $68/cwt. Dairy breed bull calves were steady, selling from $200-$400/head with some heavier, well-managed calves selling to $800/head. Dairy breed heifer calves were steady, bringing $200-$500/head with some selling higher. Beef and Beef Cross calves were steady, selling to $1,000/head. Light and lower quality calves sold up to $15.
