Weekly Livestock Comments
By Emmit Rawls
June 26, 2009
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Click to subscribe to podcastBEEF CATTLE: The cash fed cattle trade began this week in the North on Wednesday and Thursday with prices at $129 to $130, $1 to $2 lower than last week while sellers in the South held out for at least steady money. Cutouts values have been mixed this week with both Choice and Select finding highs in the middle of the week. With light demand, cutout values Thursday compared to week ago were down $0.24 on Choice and down $0.49 on Select. At midday Friday, Choice cutouts are down $0.60 at $139.09 and Select down $0.33 at $132.26. The Choice/Select spread at midday is down at $6.83 from $7.20 last week. The 5 area weighted average prices thru Thursday were $80.74 live and $129.61 dressed, compared to $81.19 and $130.56 a week ago and $98.24 and $154.67 a year ago. On Tennessee auctions this week, feeder steers/bulls and heifers were called mostly steady while slaughter cows and bulls were $3 to $5 higher. Average receipts on the reported auctions this week were 542 head on 10 auctions compared to 648 on 10 auctions last week and 710 on 17 auctions last year. Friday afternoon the cash trade picked up in the South with most trades at $82 live, steady with last week. Although we’ve seen a lower corn market this week and gains in the cattle futures following last week’s cattle on feed report, the inability of wholesale values to increase has dampened their impact and kept prices steady to lower.
TECHNICALLY SPEAKING: Based on Thursday’s closing prices: June fed cattle closed at $81.95. Support is at $81.67, then $81.22. Resistance is at $82.12, then $82.57. The RSI is 64.34. August cattle closed at $82.55. Support is at $82.33, then $81.88. Resistance is at $82.78, then $83.23. The RSI is 56.36. October cattle closed at $88.25. Support is at $87.45, then $86.70. Resistance is at $88.65, then $89.05. The RSI is 58.78. August feeder cattle closed at $98.95. Support is at $98.68, then $98.06. Resistance is at $99.31, then $99.93. The RSI is 56.60. September feeders closed at $98.88. Support is at $98.58, then $98.13. Resistance is at $99.03, then $99.48. The RSI is 54.44. Friday’s closing prices were: Fed cattle: June $82.47 +0.52; August $82.40 -0.15; October $88.12 -0.12; December $88.67 -0.27. Feeder cattle: August $98.97 +0.02; September $98.97 +0.10; October $98.57 -0.17; November $98.70 -0.02. July corn closed up $0.02 at $3.84.
