Texas Fed Cattle Trade Lower
In Early-Developing Movement

AMARILLO —(USDA)— Slaughter steers and heifers sold $1 lower last week in Texas Panhandle and Western Oklahoma feedlot trading.

Trade developed on Tuesday, earlier than what has come to be common practice. Showlists were lower than in recent weeks, and feedlots sold most or all of their offerings.

Sales were confirmed on 89,700 head, including 32,800 formulated and 1000 contracted cattle.

Average liveweights of cattle continue to be 30-40 pounds heavier than a year ago. Lower CME futures prices coupled with sharp downturns in beef cutout values created a weaker undertone in the cash cattle market. Extreme heat (102-107 degrees) and dry, windy weather throughout the week has cattle experiencing some stress.

The weighted average price of all beef type steers was $62.95. The average liveweight of most cattle slaughtered at area packing plants the previous week was 1175 pounds compared to 1166 a week earlier and 1132 a year ago. Heifer percentages were 44, 44 and 46, respectively.

Fed cattle in the Midwest moving direct and through terminals were $1-2 lower, extremes $3 lower on a dressed basis. Western parts of the nation closed mostly $1 lower dressed.

The estimated composite of boxed beef cutout values for choice 2-3 550-700 pound carcasses was down $1.27 at $100.24, 700-850 pounds down $1.26 at $99.41. Packers held onto slim margins despite the week's losses on beef cutouts. Feedlot performance was expected to slow down with the extreme heat following an unprecedented six month period of extraordinary feedlot performance.

Some Texas trading:

Slaughter steers: select and choice 2-3 1100-1250 lbs. $62 to mostly $63, few in North Plains $63.50, limited test late $62-63, weighted average price $62.98; select and few choice 2-3 1100-1250 lbs. $61-62.50, weighted average $61.94.

Slaughter heifers: select and choice 2-3 1000-1150 lbs. $63; select and few choice 2-3 1050-1150 lbs. $61-62.50, weighted average $62.25.