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Market Summary for the week ending June 24th:
June 24, 2016
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The Cattle Range 10 Day Market Trendline:
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Bearish: The market attempted to stabilize this week, but the combination of continuing supply/demand concerns and the BREXIT vote overpowered any optimism that was surfacing.

Weekly beef export sales improved last week, up 36% from the 4-week average and export shipments achieved a high for the year, up 15% from the 4-week average.  However, this improved trend may be short-lived.  The UK vote on Thursday to leave the EU caused the Dollar to spike higher on Friday, and should this not moderate, will significantly dampen foreign demand for U.S. beef.

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The Trendline is an indicator of overall cattle/beef market strength and is based on daily market factors for the last 10 days.  Each daily factor is the aggregate weighted total of the Gain/(Loss) for 10 major market indicators compared to the previous trading day. The angle indicates direction & velocity of the trend.
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Market Data:
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On-Line Store
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National Feeder & Stocker Cattle Weekly Summary:
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RECEIPTS:  Auctions   Direct   Video/Internet  Total
This Week     126,900     32,400         1,400           160,700 
This Week     124,000     20,100        83,000          227,100 
Last Year       130,100     65,500        59,200          254,800 

Compared to last week, feeder steers and heifers continued mostly 5.00-10.00 lower throughout the week.  The only bright spot was Wednesday when things looked to be turning around with a couple Wednesday auctions showing some strength, despite the CME board closing slightly lower after trending higher Monday and Tuesday.  The mid-week weakness in the futures was a the spark that ignited the fire, confirming that early week gains would be short lived, as Thursday the board open lower and finish sharply lower. 

Friday’s afternoon Cattle on Feed Report had April 1 inventory 0.5 percent higher than last year at 10.85 million head; placements at 104.6 percent and marketing’s at 107.1 percent.  Inventory was slightly lower than expected, with placements lighter than expected and marketing were higher than expectations.  The report was more bullish than expected, but was not enough for the bearish outlook.  A combination of decreased imports and the fed cattle futures decline appeared to play a role in placement during the month of March, as profit outlooks for late summer and fall looks bleak.  USDA’s Cold Storage report showed total beef in storage down from last year and just slightly under the 5 year average, which can be viewed as a positive moving into grilling season. 

However, even the few supportive signs than can be gleamed from those two reports are certainly not enough to change the current market’s bearish position.  Protein sources are plentiful and beef demand is modest at best.  Fed cattle trade was pretty much wrapped up by late afternoon Thursday with live sales at 124.00, 3.00 lower than last week’s trade and northern dressed sales at 196.00, 4.00 lower than last week and losing 20.00 in just two weeks.  Some packers appear to be bought up through the month of May and asking for extended delivery.  With the last two week’s estimated weekly cattle harvest numbers coming in as the two biggest weeks so far this year, indicates packer margins are favorable. 

A large portion of the field work in the Corn Belt has been slowed as a result of wide spread thunderstorms early in the trading period.  This should change early next week and allow planting to resume.  Despite the temporarily slowed planting progress, we should still be able to maintain our near record planting pace.  The early start to corn planting likely brought some additional acres into production. At the same time, we are hearing reports that the rally in soybeans has encouraged some production of that crop.   Auction volume this week included 52 percent weighing over 600 lbs and 41 percent heifers. 

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Stocker Steers:
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Feeder Steers:
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Five Year Moving Average - Stocker Steers, Feeder Steers, & Slaughter Steers:
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Cattle Futures: Pressure in the cattle markets mounted through the day amid a "risk-off" attitude. For the week, live cattle posted moderate losses and feeders ended with slight gains. Bears clearly have momentum on their side heading into next week. The path of least resistance remains down and given uncertainties created by the United Kingdom's vote to exit the European Union, markets will be on edge next week. This afternoon's Cattle on Feed Report, however, will not add to the bearish tone, as the On Feed category met expectations.
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Selected Auction Reports:
"Click" on individual auction links for complete report

Oklahoma National Stockyards - Oklahoma City OK
Receipts:  4,978   Last Monday:  9,942   Year Ago:  4,690
Compared to last week:  Feeder steers and heifers 2.00-6.00 lower. Demand moderate to good for feeder cattle as cattle futures continued lower today.  Steer and heifer calves lightly tested and few 10.00-15.00 lower.

Cattleman's Livestock Auction - Dalhart, TX
Cattle and Calves:  1317      Week ago:  1621      Year Ago:  930
Compared to week ago:  A few packages of pre-conditioned steer and heifer calves under 600 lbs were steady, but buyers were slow to take hold of any right off their mothers due to the onset of hot weather and those calves sold 2.00-4.00 lower.

Farmers & Ranchers Livestock Commission Co. - Salina KS
Receipts:   1545        Last Week:    2130        Year Ago:   2095
Compared to last week: This is the last sale before harvest break. The area was hit hard yesterday with a massive tornado. Cattle are showing signs of stress and receipts are low.

Huss Platte Valley Auction - Kearney NE
Receipts:  1931    Last Week:  1517    Year Ago:  1160
Compared to two weeks ago, steers sold 10.00 lower except for 800 lb steers sold 5.00 higher, not enough heifers two weeks ago to establish a trend. Demand was good from the crowd on hand with internet activity noticed.

Russell Wtd Avg Feeder Cattle Auction - Russell IA
Receipts:  5349    2 weeks ago:  2066    Year Ago:  4254
Compared to the sale 2 weeks ago: Feeder strs under 500 lbs. mostly 7.00-11.00 lower, feeder strs over 500 lbs. mostly 2.00-5.00 higher and feeder hfrs mostly 1.00-4.00 lower.

Toppenish, WA Livestock Auction - Toppenish WA
Receipts:  1360    Last Week:  1700    Year Ago:  1750
No trends due to the market not reported the last two weeks. Trade active with good demand. Fed cattle prices fell hard last week. Slaughter cows 41 percent, slaughter bulls 10 percent, 20 percent replacement cows, and feeders 29 percent of the supply.

Tulia Livestock Auction - Tulia TX
Receipts:  1377    Last Week:  2154    Year Ago:  1666
Compared to last week:  Feeder steers and heifers sold steady to 2.00 higher.  Trade was fairly active on good demand as cattle futures rallied late this week.  Temperatures hovered around the triple digit mark most of the week but a welcomed thunderstorm over night brought some relief.

El Reno Cattle Narrative - El Reno OK
Receipts:  8,378         Last Week:  9,554        Year Ago:  5,410
Compared to last week:  Feeder steers and heifers sold mostly 2.00-3.00 lower.  Steer and heifer calves not well tested; however a much lower undertone was noted.  Demand remains moderate to good despite the decline in cattle futures late last week and at the start of this week.

Clovis Livestock Auction - Clovis NM
Receipts:  1746              Week Ago:  1759              Year Ago:  2413
Compared to last week:  Feeder steers and heifers mostly 8.00-10.00 lower except 500-600 lbs steady.  Slaughter cows and bulls steady to 1.00 lower.  Trade moderate, demand weak to moderate.  High temperatures and drier conditions are making buyers more cautious
and more selective.

Joplin Regional Stockyards - Carthage MO
Receipts:  5,169     Last Reported(6/20/2016):   3,493    Year ago:  6,267
No recent Value Added Sale for a price  comparison.  Compared to Monday's sale, steers and heifers under 600 lbs 7.00  to 15.00 higher, over 600 lbs 3.00 to  5.00 higher. Demand good, supply  moderate.

Pratt Livestock Feeder Cattle Auction - Pratt, KS
Receipts:  965    Last Week:  1992    Year Ago:  1348
Compared with last week: not enough cattle in any weight class for an accurate market test; however a few 900-950 lbs steers 8.00-12.00 higher, few heifers 750-850 lbs weak to 3.00 lower;

Mitchell Livestock Wtd Avg Report - Mitchell SD
Receipts:  1392    Last Week:  1155    Year Ago:  3318
Compared to last week:  Feeder steers best test 1000-1100 lbs 3.00 to 4.00 higher with instances 10.00 to 12.00 higher for loads of lighter fleshed steers.

Sioux Falls Regional Livestock - Worthing SD
Receipts:  402    Last Week:  741    Year Ago:  173
Compared to last week:  Steers and heifers had no comparable sales as cattle were of different weights than seen last week. Lower undertones evident for all classes of cattle.

Mid-South Livestock - Unionville TN...
Receipts: 866      Last week: 589        Last year: 657
Compared to last week, Feeder Steers/Bulls 2.00-8.00 lower, with instances of 10.00 lower; Feeder Heifers 3.00-9.00 lower; Slaughter Cows steady; Slaughter Bulls steady.

Florence Livestock Auction - Florence AL...
Receipts:  613    Last Week:  448    Year Ago:  548
Compared to a week ago: Slaughter cows sold 5.00 higher, bulls sold steady. All feeder classes sold sharply lower. Demand on feeders light. Replacement cows and pairs sold mostly steady.

Tadlock Stockyards - Forest MS...
Receipts     This week    928       Last Week    1,184
Compared to last week slaughter cows trended Steady. Slaughter bulls trended Steady. Feeder steers trended 5.00 to 10.00 Lower. Feeder heifers trended 5.00 to 10.00 Lower. Feeder consisted of 65 percent steers and 35 percent heifers.

Athens Livestock Auction - Athens GA...
Receipts:  860    Last Week:  680    Year Ago:  811
Compared to one week earlier, slaughter cows steady to 1.00 higher, bulls mostly steady, feeder steers and steer calves mostly steady, feeder bulls 1.00 to 4.00 lower,

Cullman Stockyard - Cullman AL...
Receipts:  1382    Last Week:  1362    Year Ago:  1108
Compared to two weeks ago: Slaughter classes sold mostly steady. Feeder classes sold sharply lower. Trade active with good demand on feeders. Replacement cows and pairs sold steady with good demand.

Blue Grass South Livestock Market - Stanford KY...
Receipts:  337    Last Week:  462    Year Ago:  375
Compared to last Monday:Feeder steers and heifers 4.00-8.00 lower,Moderate demand for a plain to average quality offering.Slaughter cows 2.00-4.00 higher,Slaughter bulls steady,Good demand for slaughter classes.

Tri-State Livestock Auction Market - McCook NE
Receipts:  800    Last Week:  0    Year Ago:  0
No comparison to last week, due to no feeder sale. Steers Accounted for 72 percent and heifers 28 percent of the Offering today. Weights over 600 lbs 88 percent of the Offering.

Direct Sales of Feeder & Stocker Cattle:

Eastern Cornbelt Direct Feeder Cattle Summary (Fri)
This week: 860          Last Week: 0          Last Year: 108
Compared to last week:  No trend available for feeder steers and heifers due to recent limited supplies.  Prices based on net weights FOB after a 3 percent shrink or equivalent and 5-10 cent slide on calves 
and 4-6 cent slide on yearlings from base weights.

WY, Western NE & Western Dakotas Direct Feeder Cattle Wtd Avg (Fri)
Receipts: 128    Week Ago:  175     Year Ago:  None 
Another slow week for direct feeder cattle trading. Buyers and sellers continue to struggle in marketing and buying at a fair market value. There has been a lot of conversations started with, getting any 
future delivery cattle turned in?

AZ-CA-NV Weekly Feeder Cattle Review (Fri)
Confirmed: 1160 
Compared to last week, Trade slow, demand light a few lots of Holstein steers weighing 325 for delivery in Oct/Nov traded.  Feedyards and calf raisers are at a stand off.  Trade should resume next week.  Heifers 0 percent of total supply.

Colorado Direct Feeder Cattle Report (Fri)
Receipts: 385          Last Week: 0           Last Year: 196 
Compared to last week:  No trend available for feeder steers and heifers due to limited Current FOB trades.  Demand moderate to good. Supply consisted of 100 percent over 600 lbs; 0 percent heifers. 

Georgia Direct Cattle Summary (Fri)
Confirmed sales on 565 head; All sales 2-3 percent shrink f.o.b. feedlots or equivalent, 10 day pickup: 
Steers Medium and Large 1-2 76 head 600-650 lbs 130.00; 110 head 700-750 lbs 130.29-131.40. Heifers Medium and Large 1-2 30 head 650-700 lbs 119.40;

IA-South MN Direct Feeder Cattle Weekly (Mon)
Receipts:  0     Last Week:  69     Last Year:  51
Compared to last week:  Feeder steers and heifers not established. Prices based on net weights FOB after a 3 percent shrink or equivalent and 5-10 cent slide on calves and 4-6 cent slide on yearlings from base weights.

Kansas Direct Feeder Cattle Summary (Fri)
Receipts:  1853    Last Week:  343    Year Ago:  3202
Compared with last weeks limited supply: Feeder steers and heifers have no true comparisons, a weak to lower undertone noted. Trade continues to be slow cause by a lower slaughter cattle market and CME board.

Montana Direct Feeder Cattle Wtd Avg (Fri)
Receipts: 0          Last Week: 0          Last Year: 0 
Compared to last week: Feeder steers and heifers not established.  Supply consisted of 0 percent over 600 lbs and 0 percent heifers.  Unless otherwise stated, delivery is current;

New Mexico Feeder Cattle Report (Mon)
Receipts:  1580    Last Week:  400    Year Ago:  18200
Compared to last week:  Not enough current FOB sales of feeder steers or heifers for a market trend.  Trade activity and demand were light to moderate. Cattle futures struggled for the first part of the week but rallied some late week. 

Northwest Wtd Avg Direct Feeder Cattle Report (Fri)
Receipts:  3050    Last Week:  971    Year Ago:  5750
Compared to last Friday, feeder cattle 7.00-8.00 lower. Trade slow to moderate. Demand light to moderate. The feeder supply included 87 percent steers and 13 percent heifers.

Oklahoma Direct Feeder Cattle (Fri)
Receipts: 3,862        Last Week 903          Last Year 3,968 
Compared to last week:  No trend available for feeder steers and heifers due to limited current FOB trades.  Demand remains moderate to good.  Receipts this week consisted of 96 percent over 600 lbs and 32 percent heifers.

South Dakota Direct Feeder Cattle Summary (Fri)
Receipts: 0           Last Week: 0            Last Year: 1,225 
Compared to last week:  Feeder steers and heifers not established.  Trade at a standstill due to drier weather allowing producers to finish up planting season.

Texas Direct Feeder Cattle (Fri)
Confirmed: 19,300     Last Week: 17,200    Last Year: 33,900
Compared to last week current FOB feeder steers and heifers, mostly 1.00 to 4.00 lower but instances up to 7.00 lower. Approximately 89 percent of week's cattle weighed over 600 lbs. 
 

  • Reported on Friday for current week.
  • Reported on Monday for previous week.
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    Representative Sales of Cow & Pairs:
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    • Bowling Green, MO
      • Bred Cows:  Medium and Large 1 few 3-5 yrs blk 1225-1260 lbs 2nd-3rd stage 1535.00-1685.00, few 3-5 yrs 1185-1250 lbs 1st stage 1375.00-1425.00.  Medium and Large 1-2  2-7 yrs 1000-1400 lbs 1st-3rd stage 1260.00-1475.00; short solid to broken mouth 1100-1400 lbs 1st-3rd stage 1000.00-1180.00.
      • Pairs: Medium and Large 1 few 3-5 yrs blk bred back 1st stage 1000-1350 lbs w/200-250 lb calves 2300.00-2525.00.  Medium and Large 2 few 4-yrs to aged 850-1200 lbs w/baby to 150 lb calves 1100.00-1535.00.
    • Joplin, MO
      • Bred Cows:  Medium and Large 1-2  3-6 yrs 2nd and 3rd stage 1175-1360 lbs 1100.00-1425.00, 1st stage couple 1070-1100 lbs 1000.00-1015.00; broken mouth to aged 2nd and 3rd stage 1095-1130 lbs 865.00-880.00. Large 1-2  5 yr 2ndstage 1805 lb indiv. 1425.00; broken mouth 3rd stage 1520 lb indiv. 1125.00.Medium and Large 2  4-6 yrs 2nd and 3rd stage 1185-1200 lbs 850.00-1125.00.Medium 1-2  3-6 yrs 1st and 2nd stage 850-1000 lbs 825.00-925.00; broken mouthto aged 2nd and 3rd stage 1025-1045 lbs 780.00-885.00 per head.
      • Cow/Calf Pairs:  Medium and Large 1-2  short and solid mouth pkg. 1290 lb cows w/360-395 lb calves and all rebred 1400.00. Medium and Large 2  7 yrs to aged 1090-1100 lb cows w/babies to 280 lb calves 1000.00-1100.00. Medium 1-2  2-7 yrs 790-1025 lb cows w/babies to 270 lb calves 1250.00-1500.00 per pair.
    • Springfield, MO
      • Bred Cows:  Medium and Large 1-2  2-7 yrs 2nd and 3rd stage 1100-1340 lbs 1200.00-1425.00; short and solid mouth to aged 2nd and 3rd stage 1080-1335 lbs 900.00-1175.00. Large 1-2  5 yrs to short and solid mouth 2nd and 3rd stage 1385-1570 lbs 1275.00-1325.00. Medium 1-2  2-6 yrs 1st and 2nd stage 830-925 lbs 850.00-1025.00 per head.
      • Cow/Calf Pairs:  Medium and Large 2 broken mouth 910-1130 lb cows w/babies to 130 lb calves 900.00-1050.00 per pair.
    • West Plains, MO
      • Bred Cows:  Medium and Large 1-2  2-5 yr old 1200-1445 lb cows in the 2nd-3rd stage 1350.00-1600.00 per head;  7 yr to broken mouth 1260-1319 lb cows in the 2nd-3rd stage 1000.00-1200.00 per head.  Medium and Large 2  2-7 yr old 805-1420 lb cows in the 1st-3rd stage 1000.00-1250.00 per head; Short-solid to broken mouth 1030-1410 lb cows in the 2nd-3rd stage 800.00-1150.00 per head.  Medium 2  2 yr to short-solid mouth 905-1225 lb cows in the 1st-3rd stage 650.00-900.00 per head.
      • Cow-Calf Pairs:  Medium and Large 1-2  Pkg 3 pairs 2-3 yr old 1050 lb cows in first stage with 350 lb calves 1900.00 per pair; Pkg 2 pairs short-solid mouth 1198 lb cows with 150 lb calves 1400.00 per pair.  Medium and Large 2  2 yr to short-solid mouth 1015-1265 lb cows with 150-250 lb calves 1150.00-1400.00 per pair; few 3-n-1 pkgs 5-7 yr old 940-960 lb cows in 1st-2nd stage with 150-300 lb calves 1150.00-1400.00 per pair. 
    • Arkansas
      • Replacement Cows:  Medium and Large 1-2  2-7 year old 850-1250 lbs second & third stage 1075.00-1175.00, first stage/open 84.00-94.00 cwt, 7-10 year old second & third stage 975.00-1075.00.
      • Cow-Calf Pairs:  Medium and Large 1-2  3-7 year old 800-1200 lb cow w/100-200 lb calf 1700.00-1800.00/pair, few to 1950.00/pair, w/200-300 lb calf 1500.00-1600.00/pair, 7-10 year old w/100-200 lb calf 1100.00-1200.00/pair.  Small 1 and Medium 2  7+ year old 750-900 lb cow w/100-200 lb calf 1275.00-1375.00/pair.
    • El Reno, OK
      • Replacement Cows:  Medium and Large 1-2  2-4 yr old 1000-1225 lb 6-8 months 1325.00-1475.00; 2-4 yr old 900-1100 lbs 6-8 months 1100.00-1125.00; 6-8 yr old 1100-1350 lbs 5-7 months 1200.00-1350.00.
      • Pairs:  Medium and Large 1-2  3-5 yr old  1000-1200 lb cows w/100-150 lb calf 1450.00-1550.00; 5-7 yr old 1100-1425 lb cows w/100-225 lb calf 1925.00-2025.00; 5-8 yr old 1050-1400 lb cows w/100-200 lb calf 1325.00-1450.00.
    • Oklahoma City, OK
      • Replacement Cows:  Medium and Large 1-2  3-4 yr old 900-1125 lbs 3-7 months 900.00-1125.00; 3-5 yr old 1100-1325 lbs 3-6 months 1335.00-1435.00; 5-7 yr old 1200-1475 lbs 3-6 months 1300.00-1325.00; 5-7 yr old 1100-1220 lbs 3-6 months 1100.00-1220.00; 7-10 yr old 1000-1200 lbs 3-7 months 900.00-1175.00.
      • Pairs: Medium and Large 1-2  2-5 yr old 1000-1375 lb cows w/100-200 lb calf 1310.00-1635.00; 9-10 yr old 1000-1125 lb cow w/100-250 lb calf 1150.00-1225.00; 9-10yr old 1000-1050 lb cow w/100-150 lb calf 1000.00-1100.00.
    • Woodward, OK
      • Replacement Cows:  Medium and Large 1-2  2-6 yr old 1100-1475 lbs 4-5 month 1425.00-1500.00.
      • Pairs:  Medium and Large 1-2 pkg 2 yr old 900 lb cow w/125 lb calf 1575.00; pkg 4 yr old 1375 lb cow w/175 lb calf 2125.00; 10+ yr old 1025-1375 lb cow w/150-350 lb calf 1200.00-1500.00.
    • McAlester, OK
      • Replacement Cows:  Medium and Large 1-2  1-4 yr old 950-1250 lb 4-6 months 1000.00-1275.00; 5-6 yr old 950-1450 lbs 4-6 months 1035.00-1425.00; 7-8 yr old 1175-1425 lbs 6-8 months 1100.00-1460.00; 9-10yr old 1075-1400 lbs 4-8 months 985.00-1225.00.
      • Pairs:  Medium and Large 1-2  1-4 yr old 950-975 lbs cow w/150-200 lb calf 1525.00; 7-8 yr old 1000-1250 lbs cow w/225-400 lb calf 1410.00-1550.00; 9-10yr old 900-1125 lbs cow w/85-300 lb calf 1010.00-1360.00.
    • Roswell, NM
      • Replacement Cows:  Medium and Large 1-2 Young 830-1360 lb cows 3-8 months bred 975.00-1360.00, per head; middle aged 1050-1225 lb cows 3-8 months bred 900.00-1160.00, per head; aged 1100-1360 lb cows 6-8 months bred 910.00-1000.00, per head.  First Calf Heifers:  795-890 lbs 3-8 months bred 1100.00-1150.00, per head. 
      • Cow/Calf Pairs:  Medium and Large 1-2 Young ind 945 lb cow w/150 lb calf 1625.00, per pair; middle aged ind 1260 lb cow w/80 lb calf 1300.00, per pair; aged ind 1030 lb cow w/160 lb calf 1150.00, per pair. 
      • First Calf Heifers:  Small and Medium Frame:  600-815 lb cows w/100-200 lb calves 1100.00-1485.00, per pair. 
    • Billings, MT
      • Bred cows:  Medium and Large 1  3-4 yrs old calving After Sept 1st 1153 lbs 1,225.00.  3-6 yrs old calving before July 1st 1362 lbs 1,375.00, calving after July 1st 1315 lbs 1,250.00. Middle age (Solid mouth) calving before July 1st 1502-1505 lbs 1,100.00-1,150.00. 
      • Heifer pairs:  Medium and Large 1-2  996 lbs with 150-175 lbs calves 1,200.00. 
      • Cow/calf pairs: 3-4 yrs old Medium and large 1-2 1338-1400 lbs with 175-225 lbs calves 1,550.00-1,600.00.  5-6 yrs old 1288-1460 lbs with 175-225 lbs calves 1,300.00-1,450.00.  Medium and Large 1 Middle age (Solid mouth) 1515 lbs with 125 lbs 1,400.00. 
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    Canadian Cattle:
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    Alberta Beef Producers: Alberta direct cattle sales so far this week have seen light trade develop with dressed sales 12.00 lower than the previous week. No live sales have been reported however using a 60% dressing percent, dressed bids are working back to the low 140's on a live basis. Over the past month fed prices have dropped 18.00 on a live basis and are on track to establish new lows this week.
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    Canadian Cattle Prices:
    Prices have been converted to U.S. $/CWT.  Grades changed to approximate U.S. equivalents
    Exchange Rate: Canadian dollar equivalent to $0.7714 U.S. dollars
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    Prices for the week ending June 17th:
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    Tire-Changing Ramp for Trailers

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    June 24th Cattle on Feed Report:
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    United States Cattle on Feed Up 2 Percent
    • Cattle and calves on feed for the slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 10.8 million head on June 1, 2016. The inventory was 2 percent above June 1, 2015.
    • Placements in feedlots during May totaled 1.88 million head, 10 percent above 2015. Net placements were 1.81 million head. During May, placements of cattle and calves weighing less than 600 pounds were 305,000 head, 600-699 pounds were 250,000 head, 700-799 pounds were 479,000 head, and 800 pounds and greater were 850,000 head.
    • Marketings of fed cattle during May totaled 1.79 million head, 5 percent above 2015.
    • Other disappearance totaled 74,000 head during May, 4 percent below 2015.
    "Click" to view Charts
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    Muted Inflationary Pressures Keeping Food Prices in Check:
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    Inflationary pressures in the US economy remain muted and lower food prices have played a role in keeping prices in check. May consumer prices, as reported by the US Bureau of Labor Statistics, were up only 0.2% from the previous month and up just 1.1% compared to the previous year. This is well below the 2% inflation target of the US Federal Reserve and, in part, explains why the FED has changed its stance on future interest rate increases. As to why the FED looks warily on inflation numbers that fall below the 2% threshold, here’s how they explain in their own words: “a lower inflation rate would be associated with an elevated probability of falling into deflation, which means prices and perhaps wages, on average, are falling--a phenomenon associated with very weak economic conditions.” (Source: FOMC)

    Lower food prices have contributed to the deflationary environment and, judging by current trends in wholesale markets, retail prices may continue to adjust downward. The overall food CPI was down 0.2% in May from the previous month and it is up just 0.7% from last year. Lower beef and, to a lesser extent, chicken prices have been the key factors pushing down meat prices at retail. The average price of all beef products at retail in May was $6.02 per pound, 0.4% lower than the previous month and 5.2% lower than a year ago. The last time May retail prices were lower than April was in May 2012 and this was the largest year over year decline in May beef retail prices since May 2006.

    But even as prices have declined from the all time records that were established a year ago, they still remain as much as 26% higher than what they were just five years ago (May 2011). Fed cattle prices in May averaged around $128/cwt, up 14% compared to May 2011 levels while the choice beef cutout for the month of May averaged $217/cwt, 22% higher than five years ago. So while it is reasonable to discuss the impact of lower beef prices relative to the expansion in supplies, it is also good to take a step back and recognize the level of price inflation that took place in the last five years in the beef complex and what we should expect in terms of retail beef prices going forward as supplies expand. 

    Daily Livestock Report

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    Testing the Elasticity of Beef Demand:
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    It is no secret that the past year has witnessed a rapid increase in the nation's beef herd. Producers responded to record breaking calf prices by ramping up the nation's cow herd and now the results are beginning to filter into the marketplace. Starting this spring placements into the nation's feedyards reflected the increasing numbers of replacement cattle outside feedyards and the placement trend is unlikely to change in the near future.

    The million dollar question is how beef demand responds to the inevitable increase in supplies of beef. No one questions the fact that more beef will tend to lower prices for beef but few understand by how much. Will beef prices crash with a weekly slaughter of 650,000 cattle -- a number common in recent years? Will box prices for choice cuts pushed well under $200, as futures prices are implying, stimulate demand for beef. Will a weaker dollar encourage more exports?

    Starting with the food service, the industry needs help to encourage and enlighten restaurants of the new availability and price declines of beef prices. Restaurants are interested in price stability. Menus, during the past two years, have changed at restaurants across the country offering less beef dishes and more alternative meats. This happened out of necessity and because of price, and beef's story needs to be re-told in order to win back more beef offerings. Steakhouses that traditionally offered selections of multiple types of beef options now offer multiple alternative meat entrees like fish, poultry and pork. Burger shops now have a number of chicken sandwiches as well as other meat offerings. Changing menu options is a big job and will take time.

    Retail beef sales in supermarkets is more straight forward. Retailers will go where the money is. If they can build more and better margins into beef sales and beef features, they will. True elasticity is at work in grocery stores where consumers will always look for the best buys and beef is a popular item. Pork prices have been rising while beef prices have been crashing. Winning back counter space on the meat counter should occur naturally and benefit from healthy margins promised the retailer by lower beef prices and plentiful supplies.

    A weaker dollar should influence expanded beef exports. China is a large emerging buyer of U.S. beef. Most beef enters China through Hong Kong but changes in trade policy may allow more direct exports and a larger middle class in China may create a growing market for our beef. Good news also is possible on the import side as the source for much of our imported beef, Australia and New Zealand, are suffering following drought and engaged currently in rebuilding their herds making supplies for export less plentiful.

    Fighting beef consumption are the foodies. The food reform movement is engaged in a publicity campaign to discourage beef consumption. The movement is short on the facts but has the ear of young people and it is critically important for the beef industry to counter this effort with good nutritional science and make sure the value of beef is promoted on college campuses across the country.

    There is no mathematical calculation to find the right balance between beef production and price. It must be discovered over and over. Searching historic trends and production levels are never successful because they fail to include all the current factors that make this day and time different. They also fail to include those factors in demand we have not yet identified. The current decline in prices will reach back to the breeders who have been little impacted from recent volatility.

    Ag Center Cattle Report

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    Prices from a Wal-Mart Super Center -- Wal-Mart is the world's largest grocery retailer.
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    Photo of the Week:
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  • 200 Red Angus Bred Heifers... Western NE*
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    Shootin' the Bull Weekly Analysis:
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    In my opinion, the market action dictated by the British vote to exit the Eurozone is perceived inconsequential to cattle.   Little of significance changed in the fat cattle market this week.  The move off the low came very close to negating some technical issues, but was unable to seal the deal before weeks end.  So, the weekly, close only, continuation chart continues to reflect the fats to be in the 5th wave.  The August contract will need to close above $114.35 or below $110.25 to set the stage for the next most probable move.  A close above $114.35 will begin to overlap previous waves, that should not be overlapped, in order to continue to anticipate further downside price movement.  A trade under $110.25 August will suggest that the 5th of the 5th wave is in progress.  I continue to perceive that if a new low were to materialize, it would lead me to believe the bottom was closer to being made than to anticipate an extended move lower.  Therefore, for the time being, the fat cattle futures are perceived to be in limbo.  This is a very confusing place to be in a business.  However, due to the severity of capital loss, decisions need to be made with the best information available.  At this time, I do not perceive that information to be available. 

    Feeders were able to do something different that the fats did not.  That was breaking a rule of the Elliott wave that leads me to anticipate something different. The rule broken was that a wave 4 correction can not exceed the top or bottom of the wave 1 of the same magnitude.  In this case, the close only chart on the August feeders had 3 waves in this last move down from the previous high close of $147.37 on June 8th.  Then, this current rally started, that was first perceived as a wave 4 with a wave 5 lower anticipated.  However, on Thursday of this week, August closed above two previous lows of significance.  The first low overlapped was what was perceived as the wave 2 in this decline at the close of $141.05.  This is where the overlapping of waves comes in that broke a rule of Elliott.  This now suggests that the move from $147.37 to contract low close at $136.67 is a 3 wave move.  More often than not, I would not conclude a top or bottom complete on a 3 wave move. 

    However, in rare instances in moves of significance, there can develop a pattern in which the 5th wave consists to 5 lesser waves that consists of only 3 sub-waves each.  This may be the case on the August feeder cattle.  A chart for viewing this is available on my website.  The next point that was exceeded this week was the previous low close of $142.10 on 5/24.  This was a significant low as it produced the last rally from which a new contract low was spawned from.  So, some changes are noted on the feeder cattle that are not quite note worthy yet for fats.  Lastly on the feeders, there is significant divergence between technical indicators and price on both the weekly continuation chart and feeder cattle index chart.  This leads me to be overly cautious about pushing the down side of this market. These factors combined lead me to anticipate a reversal in feeder cattle. 

    Corn fooled me.  I did not anticipate this sharp of a decline.  Having recommended old crop sales to be finalized, and half of new crop sales helped some, but this is not what was anticipated.  So, from here, with the chart pattern appearing like a sharp cliff that prices fell off, I anticipate a long slow grind back up the price scale to equal or exceed the current high. 

    Christopher B. Swift is a commodity broker and consultant with Swift Trading Company in Nashville, TN. Mr. Swift authors the daily commentaries "mid day cattle comment" and "Shootin' the Bull" commentary found on his website @ www.shootinthebull.com

    An investment in futures contracts is speculative, involves a high degree of risk and is suitable only for persons who can assume the risk of loss in excess of their margin deposits.  You should carefully consider whether futures trading is appropriate for you in light of your investment experience, trading objectives, financial resources and other relevant circumstances. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.

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    USDA Cold Storage Report:
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    As of May 31st:

    Total red meat supplies in freezers were down 2 percent from the previous month and down 5 percent from last year.

    • Total pounds of beef in freezers were down 1 percent from the previous month and down 6 percent from last year. 
    • Frozen pork supplies were down 4 percent from the previous month and down 6 percent from last year. 
    • Stocks of pork bellies were up 7 percent from last month and up 20 percent from last year.
    Total frozen poultry supplies were up 4 percent from the previous month and up 7 percent from a year ago.
    • Total stocks of chicken were down slightly from the previous month but up 9 percent from last year. 

    • Total pounds of turkey in freezers were up 14 percent from last month and up 3 percent from May 31, 2015.
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    Choice Boxed Beef Cutout, Slaughter, & Feeder Steers:
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    Future of North America’s Beef Industry:
    Glynn T. Tonsor -- Kansas State University
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    I had the pleasure last week to provide a joint talk with Dr. Ted Schroder at the 2016 Beef Improvement Federation Annual Meeting & Symposium. Our presentation sketched a broad vision of how the integrated U.S. and Canadian beef industry may look in 20 years. To set the stage for our assessment, we outlined comparative advantages in comparing major global beef producers.

    The key comparative advantages currently enjoyed by North America’s integrated industry include a strong trust and premium being placed on their grain-finished beef.  The presence of sound and effective infrastructure spanning from physical assets like transportation networks and sophisticate processing facilities to intellectual expertise on issues including genetics and meat quality, along with legal property rights supporting investment are additional global strengths.

    Comparative disadvantages are equally important to assess and appreciate in assessing any entity or industry’s future. The North American beef industry is not the lowest price producer globally reflecting differences in production costs not only relative to pork, chicken, and other proteins but also compared to competing beef systems around the world that are not as heavily focused on grain-finished production. While these production cost differentials may well adjust, they seem unlikely to shrink substantially. This reinforces the need to appreciate the fragmented nature of many inner-industry discussions and the associated partially effective coordination and signaling that occurs both vertically and horizontally throughout the North American beef industry. One only has to examine debates around animal identification and traceability, proposed international trade deals, and generic advertising to appreciate this point and the associated challenges with pursuing immense economic opportunities with expected growing global beef demand over the next 20 years.

    As noted in past articles specific to individual operations, identifying and effectively acting upon one’s comparative advantage is key for successful progression of any industry. The core goal of this article is to have each reader pause and think critically about two things: 1) how the North American beef industry can best be positioned for success over the next 20 years and 2) how individual actions of stakeholders throughout the industry can help (or inhibit) realization of this success.  It is much more enjoyable, and arguably economically rewarding over the longer-term, to work together and “build a larger pie to share” than to focus on getting the “largest slice of today’s pie.”

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    Out of Kilter:
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    A good way to determine if something is “going on” in a market is by noticing when market relationships are out of kilter. Cattle and grains typically have a positive correlation. They tend to move in tandem. Moderately increase the price of corn and the cattle will follow suit. The opposite is also true as the cost of feed declines, so does the cost of production. However, when this relationship breaks down, it's because one market can't keep pace or pass on the costs of the other. 

    Normally, the value of 25 bushels of corn is approximately equal to the price per cwt. for feeder steers.

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    5 Year Moving Average:
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    Crude/Cattle Correlation:
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    The chart below shows a fairly consistent correlation between the price for a barrel of crude oil and the per cwt. price for slaughter cattle.  Since it is unlikely the price of cattle affects the price of oil on the world market, it might be assumed the price of crude oil affects the price of cattle, but that is unlikely as well.  It is more likely that economic factors affecting demand for crude oil have a similar effect on demand for beef.

    Accordingly, in the absence of geo/political events disrupting or distorting oil supply, since price trends occur slightly sooner in the crude oil market, crude oil has been a good indicator of the direction of near term cattle prices. However, with increased supplies of crude oil and decreased supplies of slaughter cattle, an "Out of Kilter" situation between the two commodities has developed.

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    5 Year Moving Average:
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    Slaughter Cows & Bulls:
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    Slaughter cows and bulls mostly steady to 3.00 higher. 

    Cutter Cow Carcass Cut-Out Value Friday afternoon was 173.09 -- Down .32 from last Friday.

                      %Lean      Weight           South Dakota    Oklahoma         Alabama 
    Breakers  75-80%    1100-1600     85.50                 78.00-81.00      69.00-74.00
    Boners      80-85%    1000-1450    78.00-84.50      78.00-82.00      74.00-76.50
    Lean          85-90%    1000-1300    76.00-83.00      77.00-80.00      68.00-73.00
    Bulls          88-92%    1300-2500     94.50-100.00  100.00-104.00   95.00-100.00

                     Confirmed   Week Ago    Year Ago    WTD     Week Ago    Year Ago
    National      6,430         6,786             5,318         26,400     27,524        24,144
    S Central    1,390         1,955             1,316           7,619        7,652          6,699
    N Central       932            615                 646           2,515        2,323          2,308
    East            1,926         1,823              1,832           6,659       6,634          6,186
    West           1,364         1,375                 651           4,659        5,681         4,719
    Midwest         818         1,018                873            4,948        5,234         4,232

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    Est. Weekly Meat Production Under Federal Inspection:
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    Total red meat production under Federal inspection for the week ending Saturday, June 25, 2016 was estimated at 942 million lbs. according to the U.S.Department of Agriculture's Marketing Service. This was 1.2 percent lower than a week ago and 3.1 percent higher than a year ago.  Cumulative meat production for the year to date was 1.5 percent higher compared to the previous year.
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    Weekly Hay Reports: "Click" on links for detailed report
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    Weekly Feedstuffs Market Review:
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    The USDA Market News Service reports feed ingredient prices for the week ending June 22 were mixed.  Soybean Meal was steady to 20.30 lower, mostly 15.30 to 19.30 lower. 
    • Cottonseed Meal was steady to 5.00 higher. Canola Meal was steady to 21.30 lower. Linseed Meal was steady. Sunflower Meal was steady to 5.00 higher. 
    • Whole Cottonseed was steady to 5.00 higher, mostly steady. 
    • Crude Soybean Oil was 41 to 116 points lower. Crude Corn Oil was 25 to 55 points higher. 
    • Ruminant Meat and Bone Meal was steady to 25.00 higher, mostly 10.00 higher. Ruminant Blood Meal was steady to 50.00 higher, mostly 25.00 higher. Feather Meal was steady to 5.00 higher, mostly 5.00 higher. Menhaden Fishmeal was steady to 35.00 higher. 
    • Corn Hominy was 4.00 lower to 11.00 higher, mostly steady. Gluten Feed was steady to 13.00 higher, mostly steady. Corn Gluten Meal was 15.00 lower to 20.00 higher. 
    • Distillers Dried Grain were 10.00 lower to 18.00 higher, mostly steady. 
    • Wheat Middlings were steady. Wheat millrun was steady.

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    Bullish/Bearish Consensus:
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    The theory behind the "Bullish/Bearish Consensus" indicator is when the public reaches a consensus, they are usually wrong:
    • They get too bullish after prices have risen, and too bearish after they have already fallen.
    Because of this tendency, there are often extremes in opinion right before major changes in trend:
    • When the public reaches a bullish extreme, i.e., a great majority thinks prices will keep rising, then prices often decline instead. 
    • And when they become too bearish, then prices tend to rise.
    So when Public Opinion moves above the red dotted line in the chart, it means that compared to other readings over the past year, you're seeing excessive optimism. You also want to look at the absolute level of Opinion, too - if it's at 90%, then there's no question we're seeing an historic level of bullish opinion.  Watch for readings above 80% (or especially 90%) to spot those dangerous times when the public is overly enthusiastic about a commodity.

    Conversely, when Public Opinion moves below the green dotted line, then the public is excessively pessimistic about the commodity's prospects for further gains compared to their opinion over the past year.  Looking for absolute readings under 20% (or especially 10%) often indicates an upturn in the market.

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    Bullish/Bearish Consensus: Cattle
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    Bullish/Bearish Consensus: Corn
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    Stock Markets & Economic News:
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    Britain’s vote to leave the European Union dragged down Wall Street along with other global markets, erasing gains earlier in the week. The technology-heavy Nasdaq Composite performed moderately worse than the other benchmarks. The declines brought the S&P 500 Index, the Dow Jones Industrial Average, and the small-cap Russell 2000 Index into negative territory for the year to date, alongside the Nasdaq.

    The Brexit vote appeared to dominate market sentiment throughout the week. U.S. stocks reached their highs for the week on Thursday, when many concluded that Britons would vote to remain in the EU. Futures plunged in overnight trading, however, after it became clear that the vote had gone the other way. The major indexes plummeted at the open, recovered a bit, but then fell back to new lows in afternoon trading.

    The week’s U.S. economic data were mixed. Existing home sales rose 1.8% in May, while new home sales fell 6.0%. The smaller sample size used in the new home sales data often results in volatility in the reading. Durable goods orders fell 2.2%, with core capital goods orders falling 0.7%. The data pointed to a lack of business investment and concerns over productivity, but the numbers also reflected a recovery in export orders.

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    U.S. Stocks:
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    "Click Here" to view a Slide Show of Drought Monitor maps for the last 12 weeks
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    Looking Ahead:
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    • A pair of disturbances will continue to track east along a stalled frontal boundary, producing a swath of moderate to heavy rain (1 to 3 inches, locally more) from the lower Great Lakes into the Mid-Atlantic States. Somewhat spottier showers will develop south of the front from the middle Mississippi Valley into the Carolinas, though some of this rain could be locally heavy as well. Farther west, a pair of upper-air disturbances will trigger scattered showers and thunderstorms, the first over the central Plains and middle Mississippi Valley, while the second moves into the Northwest. In contrast, hot, mostly dry weather will prevail across Texas, Oklahoma, and much of the West. 
    • The NWS 6- to 10-day outlook for June 28 – July 2 calls for above-normal temperatures in the Northeast, Gulf Coast, and from the Plains to the Pacific Coast States. Conversely, cooler-than-normal weather is anticipated across the Corn Belt and Tennessee Valley. Above-normal rainfall is expected across much of the southern and eastern U.S., including the Four Corners, while drier-than-normal conditions prevail from the Northwest into the Great Lakes Region.
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    Palmer Index:
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    Monthly Livestock Slaughter Report:
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      Record High Pork Production for May
    • May 2015 contained 21 weekdays (including 1 holiday) and 5 Saturdays.
    • May 2016 contained 22 weekdays (including 1 holiday) and 4 Saturdays.
    • Commercial red meat production for the United States totaled 4.00 billion pounds in May, up 5 percent from the3.81 billion pounds produced in May 2015.
    • Beef production, at 2.03 billion pounds, was 5 percent above the previous year. Cattle slaughter totaled 2.51 million head, up 6 percent from May 2015. The average live weight was up 1 pound from the previous year, at 1,333 pounds.
    • Veal production totaled 6.0 million pounds, 9 percent below May a year ago. Calf slaughter totaled 35,500 head, up 7 percent from May 2015. The average live weight was down 49 pounds from last year, at 286 pounds.
    • Pork production totaled 1.95 billion pounds, up 5 percent from the previous year. Hog slaughter totaled 9.18 millionhead, up 5 percent from May 2015. The average live weight was down 1 pound from the previous year, at 283 pounds.
    • Lamb and mutton production, at 13.0 million pounds, was up 9 percent from May 2015. Sheep slaughter totaled 185,300 head, 9 percent above last year. The average live weight was 140 pounds, down 1 pound from May a year ago.
      January to May 2016 commercial red meat production was 20.2 billion pounds, up 3 percent from 2015. 

      Accumulatedbeef production was up 4 percent from last year.

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    Feedyard Closeouts: Profit/(Loss)
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    Typical closeout for un-hedged steers sold this week:
    • Placed On Feed 150 days ago = January 26th
    • Projected Profit/(Loss) based on the futures when placed on feed: ($16.86)
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    Cost of 750 lb. steer delivered to the feedyard @ $161.22 per cwt. 
    $1,209.15
    Cost of gain* for 600 lbs. @ $84.22 per cwt.
    $505.32
    Interest** @ Prime + 2% on cattle cost for 150 days
    $27.33
    Interest** @ Prime + 2% of the feed cost for 150 days
    $5.71
    Total Cost & Expense
    $1,747.51
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    Sale proceeds: 1,350 lb. steer @ $117.00 per cwt.
    $1,579.50
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    This week's Profit/(Loss) per head
    ($168.01)
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    Profit/(Loss) per head for previous week
    ($81.71)
    Change from previous week
    -$86.30
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    Sale price necessary to breakeven
    $129.45
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    Projected closeout for steers placed on feed this week:
  • Projected Sale Date @ 150 days on feed = November 21st
  • Cost of 750 lb. steer delivered to the feedyard @ $140.30 per cwt.
    $1,052.25
    Cost of gain* for 600 lbs. @ $81.96 per cwt.
    $491.76
    Interest** @ Prime + 2% on cattle cost for 150 days
    $23.78
    Interest** @ Prime + 2% of the feed cost for 150 days
    $5.56
    Total Cost & Expense
    $1,573.35
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    Sale proceeds: December Live Cattle Futures @ $111.95 per cwt.
    $1,511.33
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    Projected Profit/(Loss) per head
    ($62.03)
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    Projected Profit/(Loss) per head for previous week
    ($114.19)
    Change from previous week
    +$52.16
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    Sale price necessary to breakeven
    $116.54
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    *In addition to feed costs, "Cost of Gain" includes death loss, medicine, insurance, etc.
     **Interest Rate @ Prime + 2.00% - Prime Rate as defined and published by The Wall Street Journal
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    Typical closeout for steers sold this week and hedged when placed on feed: ($16.86)
    Typical closeout for un-hedged steers sold this week: ($168.01)
    Projected Profit/(Loss) based on the futures & estimated Cost of Gain this week: ($62.03)
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    Slaughter Cattle:
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    Friday trading in Nebraska has been limited on light demand. One isolated live sale sold at 118.00 for more than two week out delivery. In the Southern Plains, Colorado and the Western Cornbelt trading was mostly inactive on very light demand. Not enough sales in any feeding region for a full market trend. Wednesday was the last fully reported market in the Southern and Northern Plains with live selling at 116.00. Not enough dressed sales in Nebraska for a market trend. The last reported dressed sales market was last week with sales ranging from 191.00-198.00. In the Western Cornbelt the last fully reported market was last week with live sales mostly at 120.00 and dressed sales from 190.00-197.00.

    Livestock Slaughter under Federal Inspection:
                                     CATTLE     CALVES    HOGS         SHEEP
    Friday   (est)             112,000        1,000         402,000          7,000
    Week ago (est)        113,000        1,000         422,000          7,000
    Year ago (act)          113,000        2,000         402,000          5,000
    Week to date (est)  564,000         8,000      2,094,000        37,000
    Last Week (est)       557,000         8,000      2,131,000       37,000
    Last Year (act)         552,000         9,000      2,072,000        38,000

    Saturday est)             44,000             0                  9,000            0
    Week ago (est)         50,000             0                29,000            0
    Year ago (act)             7,000              0                69,000            0
    Week to date (est) 608,000         8,000       2,103,000        37,000
    Last Week (est)      607,000         8,000       2,160,000       37,000
    Last Year* (act)       559,000         7,000       2,141,000       38,000
    2016 YTD           14,132,000    211,000     55,273,000     969,000
    2015 *YTD         13,743,000     213,000     55,346,000     977,000
    Percent change        2.8%           -0.9%         -0.1%            -0.8%

    Negotiated prices paid for Slaughter Steers and Heifers:
    Live basis                Steers                                           Heifers
    Over 80% Choice    116.00-116.00 avg 116.00          116.00-116.00 avg 116.00
    65 - 80% Choice     116.00-118.00 avg 117.88          115.00-116.00 avg 115.60
    35 - 65% Choice     117.00-117.00 avg 117.00                       - 
    0 - 35% Choice                    -                                                       - 
    Total all grades        116.00-118.00 avg 117.74          115.00-116.00 avg 115.66
    Dressed basis 
    Over 80% Choice   186.00-188.00 avg 186.92           186.00-188.00 avg 187.25
    65 - 80% Choice    185.00-188.00 avg 186.94            188.00-188.00 avg 188.00
    35 - 65% Choice                -                                                       -
    0 - 35% Choice                  -                                                       - 
    Total all grades     185.00-188.00 avg 186.93          186.00-188.00 avg 187.83

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    Corn Crop Condition:
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    National Grain Summary:
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    Compared to last week, grain and soybean bids traded lower in reaction to the weak outside markets, higher U.S. dollar, and concerns of the global economy.  Weather conditions across the Corn Belt have been favorable for the most part, and as a result we have seen little risk premium added to futures. 

    Corn Futures Summary: Corn futures settled mostly 2 to 3 cents lower today, which was more than a dime off session lows. For the week, July corn futures plunged 52 1/2 cents, while the December contract plummeted 53 3/4 cents. Focus next week will be divided between weather, outside markets and USDA's Acreage and Quarterly Grain Stocks Reports on Thursday. Focus on outside markets will be on the U.S. dollar after today's surge.

    Soybean Futures Summary: Soybean futures closed 21 1/2 to 23 cents lower through the January contract, finishing near their lows of the day. August futures closed around 53 cents lower and November finished around 65 cents lower for the week. Futures are poised to start the week under pressure. The extent of that pressure will be determined by the amount of followthrough strength in the U.S. dollar index and fallout from this week's UK vote to exit the EU. In addition, traders will start to look ahead to Thursday's Grain Stocks and Acreage Reports.

    Wheat Futures Summary: SRW July wheat futures closed a half-cent higher with other SRW contracts down 3/4 to 2 3/4 cents. HRW futures finished around 4 to 5 cents lower and HRS futures closed 3 to 4 cents lower. For the week, September SRW futures lost nearly 30 cents. Wheat futures will likely face pressure next week from the advancing harvest in the Plains and Midwest. Additional pressure could come if the U.S. dollar sees followthrough strength from Friday's sharp gains due to the shock of the UK's "Brexit" vote.

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    Five Year Moving Average - Corn & Wheat
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    Your Suggestions:
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