Texas Fed Cattle Moved Lower
Last Week, Mostly On Thursday

AMARILLO —(USDA)— Slaughter steers and heifers sold steady to 50 cents lower in Texas Panhandle and Western Oklahoma feedlot trading last week. Trade was slow until Thursday afternoon, when most cattle sold.

Packer demand backed off some compared to the last three weeks. Lower CME futures and boxed beef cutouts stopped the momentum of higher price trends. The week's movement left some carryover. Many feedyards are near capacity.

Sales were confirmed on 97,300 head including 36,100 formulated cattle. The weighted average price of all beef type steers was $70.29. The average liveweight of most cattle slaughtered at area packing plants the previous week was 1179 pounds compared to 1188 a week earlier and 1199 a year ago. Heifer percentages were 47, 43 and 46, respectively.

Other marketing areas sold slaughter cattle steady to $1 lower. Trade was only moderate as feedlots resisted lower bids. Showlists were not cleared, but many of the holdover cattle have few days on feed. Analysts believe the bears will take over as a drouth in the Midwest has wheat pastures looking bleak and many prospective wheat cattle will end up in already near-capacity feedlots. This will add in another month of large placements.

On the plus side, December CME live cattle futures remain a discount to spot prices, which means feedlots will be more willing to sell than hold for higher prices.

Boxed beef cutouts held firm ground most of the week, then began to tumble late in the week. The average price for the week was up 10 cents at $112.55.

Some Texas trading:

Slaughter steers: select and choice 2-3 1150-1300 lbs. $70-70.50, weighted average $70.37; select and few choice 2-3 1150-1350 lbs. $69-70, weighted average $69.81.

Slaughter heifers: pen mostly choice 2-3 1200 lbs. $72; select and choice 2-3 1050-1200 lbs. $70-70.50, weighted average $70.38; select and few choice 2-3 1050-1250 lbs. $69-70, weighted average $69.77; few select and choice 2-4 1100-1250 lbs. including heiferettes $68.