Kansas feedlots sold fewer fed cattle to beef packing plants in October than a year earlier or the 2013-2017 average for October, according to data collected by the Kansas State University Extension service and compiled by the Livestock Marketing Information Center in Denver.
After the extension service collects data from selected, representative feedlots across Kansas, the LMIC extrapolates the information to provide a representation of the activities of all feedlots across the state. The LMIC then publishes the data on its web site.
CLOSEOUTS DIP
The average number of cattle sold to beef packers from Kansas feedlots in October was 3,210 head, down 317, or 8.99%, from 3,527 in September and 430 head, or 11.8%, below last year’s 3,640. This October’s sales also were below the 2013-2017 average of 3,834 head by 624, or 16.3%.
Historically, the number of cattle sold to packers, or closed out from their time in the feedlot, in October can rise or fall. The 2013-2017 average moves up from September, but last year, month-to-month closeouts declined.
November’s direction also can go either way. The five-year average goes lower, but last year, they moved higher.
However, the December rate of closeouts is higher, often entailing the largest sales month of the year.
FINAL WEIGHTS NEAR AVERAGE, LAST YEAR
As expected, closeout weights for fed steers sold to beef packers from Kansas feedlots in October rose to rejoin the trend of the 2013-2017 average. Closeout weights in September had dropped below the average.
The average weight of fed steers leaving Kansas feedlots in October was 1,422 pounds, up from September’s 1,390 and only slightly above last year’s 1,418 pounds. The previous five-year average weight for October is 1,424.6 pounds.
Closeout weights generally move sideways from October to November, although last year, they rose to the annual high of 1,423.4 pounds.
December usually is the high-water mark for closeout weights from Kansas feedlots. The average is 1,431.4 pounds.
DAYS ON FEED DROP BELOW LAST YEAR
The number of days it took for fed steers to reach their closeout weight continued to fall in October, dipping below the 2018 line for only the second time this year. The time it took for fed steers to reach their market weight peaked with cattle sold in June at 191 days. By October, this number had dropped to 161 days.
The peak number of days it took fed steers to reach their sale weight usually peaks in late spring or early summer as cattle that were placed on feed at a lower-than-optimal age take feedlot time to mature and fatten.
From there, the number of days it takes steers to reach market weight declines into October, which often is the annual low. November and December days-on-feed numbers generally climb a little.
CATTLE, BEEF RECAP
Cash cattle trading was reported last week at $118 to $119.50 per cwt on a live basis, up $0.50 to $1 from the previous week. Dressed-basis trade was reported at $188 to $190 per cwt, up $1 to $3.
The USDA choice cutout Wednesday was down $2.84 per cwt at $218.65, while select was off $1.63 at $203.72. The choice/select spread narrowed to $14.93 from $16.14 with 124 loads of fabricated product sold into the spot market.
Six steer contracts were tendered for delivery against the Dec live cattle contract Wednesday.
The CME Feeder Cattle index for the seven days ended Monday was $143.00 per cwt, down $0.41 from the previous day. This compares with Wednesday’s Jan contract settlement of $142.77, up $1.12.