Morning Livestock Report, 01/29/2016

Friday, January 29, 2016

Cattle futures turned in a relatively quiet, two-sided session yesterday, officially settling mostly lower, but rallying back toward unchanged by the end of the afternoon hours. We still haven’t seen any real cash cattle trade yet this week and continue to monitor what could be a significant winter weather event on tap Sunday through Tuesday for much of CO, KS, and into NE/IA to negatively impact cattle performance and carcass weights. Week ending January 16 carcass data out yesterday showed both steer and heifer carcasses down 4 lbs vs the prior week. This afternoon, the USDA will release their semi-annual cattle inventory count, where average trade estimates show the industry expecting the all cattle and calves count to be up 1.8% vs last year, last year’s calf crop up 2.1%, beef cows up 3.0%, and beef replacement heifers up 4.3%. Between ultra-low cow and heifer slaughter and very positive cow-calf production economics this past year, I think the evidence is strong that herd rebuilding is definitely under way, but how quickly is it occurring??

Unless otherwise noted, the posts on this blog should be construed as market commentary, merely observing economic, political and/or market conditions, and not intended to refer to any particular trading strategy, promotional element or quality of service provided by INTL FCStone Inc. or its subsidiaries. INTL FCStone Inc. is not responsible for any trading decisions taken by persons viewing this material. Information contained herein was obtained from sources believed to be reliable, but is not guaranteed as to its accuracy. These materials represent the opinions and viewpoints of the author, and do not necessarily reflect the viewpoints and trading strategies employed by INTL FCStone Inc. or its subsidiaries. Reproduction without authorization is prohibited. All rights reserved.

Market Intelligence Free Trial

Meet the Team

Kansas City, MO
1251 NW Briarcliff Parkway
Suite 800
Kansas City, MO 64116
Tel:+1 (816) 410-5079



Our privacy policy has changed. View our privacy policy to learn more.