Livestock report

Last Week: 388,000 62,300 75,200 525,500

Year Ago: 248,000 17,900 4,700 270,600

Compared to last week, steers and heifers sold steady to 4.00 lower. After two weeks of heavy supplies auctions got a bit of a break this week and most auctions had only had moderate runs, with this report over 100K less than the previous week.

Demand was moderate to good even though a blizzard in the North Plains blew on Wednesday and dumped from 9” to 22” of heavy wet snow across the North central part of the country. More snow was seen in the Midwest over the weekend, making it difficult for travel at different times this week in different areas.

This winter storm cut receipts back at several auction markets. Some auctions moved their livestock sales till later in the week to accommodate producers and buyers. Deep snow in receiving pens that will eventually turn to mud was the main reason for the drop in the markets this week.

Feed efficiency has deteriorated drastically on the heavy, near market ready cattle and increased operation costs as feedyard pens must be cleared of snow. A sluggish fat cattle sale didn’t help the feeder market as cattle had a hard time getting moved from feedlot to slaughter.

This week’s 5-Area fed cattle movement was 13K less than the previous week and 10K less than the previous year. Negotiated fed cattle sale in the Southern Plains were 1.00 lower at 155.00 on light trading, while dressed sales in Nebraska sold 2.00 to 4.00 lower at 248.00.

Boxed beef had a runup in the month of December as retailers wanted to get product in for the holidays, however January so far has seen a 15.00 drop in Choice cutout values while Select has stayed relatively flat.

Choice boxed beef closed the week 4.90 lower at 271.72, while Select was 0.46 lower at 256.43 for the same period. Weekly Cattle Slaughter under federal inspection estimated at 646K for the week, 15K less than last week, and 9K more than a year ago.

Auction volume this week included 49% weighing over 600 lbs and 43% heifers.