For the week ending Nov. 6, feeder cattle prices at Texas auctions were mostly steady to $6 higher per hundredweight, though some locations noted lower prices on at least a portion of their offerings. Volatile, higher feed grain prices and a lower fed cattle market contributed to the weakness. Fed cattle prices followed wholesale beef values lower, though both remain well above year-ago levels. Cotton prices were sharply higher because of a weaker dollar, export restrictions by India and reports that China’s crop is smaller than expected. The cheaper dollar, which makes U.S. goods less expensive for foreign buyers, also pushed wheat, corn and grain sorghum prices higher. Wheat received an added boost from concerns that dry weather would hurt the U.S. crop. As for futures markets, feeder cattle, cotton, wheat, corn and lumber were higher, while fed cattle were lower. Areas of the state along and east of Interstate 35 reported rainfall last week, ranging from a trace to more than 5 inches in a few isolated locations. Other parts of the state reported little or no rainfall. Dry weather on the Plains allowed the cotton harvest to progress to 60 percent complete, compared to 38 percent on average by this date in previous years. Corn harvest is nearing completion and the grain sorghum crop is 86 percent harvested. Winter wheat seedings are also nearing completion with 89 percent of the crop planted and 70 percent emerged. In many areas, the wheat crop would benefit from additional rain. Crops were reported in mostly good to fair condition, while pastures were rated mostly fair to good.
All cash prices above are market averages for locations covered by the TDA Market News program and do not reflect any particular sale at any specific location. Feeder cattle prices are for 500-600 pound medium and large No.1 steers. Futures prices are quoted for the nearest month contract on the last trading day of the week. For additional information, contact TDA Market News at (800) 252-3407 or visit our website, www.tdamarketnews.com.
