August Kansas feedlot closeouts, or sales to beef packers, were nearly the same as August 2021 and the previous five-year average, according to a survey of key feedlots by the Kansas State University Extension service.
The K-State Extension service surveys representative feedlots around the state, collecting closeout data from each one. The information then is forwarded to the Livestock Marketing Information Center where it is compiled into data representing the “average” feedlot in the state and published on the LMIC website.
STEER CLOSEOUTS REBOUND
August steer closeouts from Kansas feedlots, rebounded from a seasonal, if greater than average, dip in July to hit the August mark, the data showed.
August closeouts from the average Kansas feedlot numbered 5,438 head, the survey showed, up 1,325, or 32.2%, from July’s 4,113, down 22, or 0.40%, from August 2021’s 5,460 and up 24, or 0.44%, from the 2016-2020 average of 5,414.
Monthly Kansas feedlot closeouts have been fewer than the 2016-2020 average since February. An April seasonal low came in March at 2,820 head, well below the previous April’s 4,563 and the previous five-year average of 4,481 head, the data showed. So far, this has been the 2022 low.
The August closeouts tend to be the seasonal high that isn’t challenged until December, the data showed. Last year, the seasonal high came in July. The fall low in feedlot closeouts usually occurs in November followed by a jump in December.
STEER FINAL WEIGHTS RISE IN AUGUST
The average final weight of steers exiting the average Kansas feedlot in August was 1,439 pounds, up 27, or 1.91%, from July’s 1,412, up 24, or 1.70%, from last year’s 1,415 pounds and up 24, or 1.70%, from the previous five-year average of 1,415 pounds.
Monthly steer dressed weights have been higher than the five-year average all year, although they have wandered up and down around last year’s numbers, the data showed. August’s jump from July was more extreme than the average, but last year’s weights declined sharply in a counter-seasonal move in August and September, which ended below the average in September.
Typically, steer closeout weights from Kansas feedlots rise to the annual high in November before tailing off in December and dropping into April’s annual low, the data show. Last year, seasonal weights bottomed in September before rising sharply in October and peaking in December.
DAYS ON FEED DECLINE SEASONALLY
The number of days steers from Kansas feedlots spent on feed before being sent to slaughter declined seasonally in August, although they remained higher than the 2016-2020 average, the data showed. Typically, they will continue declining into an October low.
CATTLE, BEEF RECAP
The USDA reported formula and contract base prices for live FOB steers and heifers this week ranged from $144.89 to $147.55 per cwt, compared with last week’ range of $143.00 to $147.00. FOB dressed steers, and heifers went for $227.91 to $229.84 per cwt, versus $224.47 to $229.75.
The USDA choice cutout Tuesday was up $2.12 per cwt at $246.75 while select was off $0.97 at $212.85. The choice/select spread widened to $33.90 from $30.81 with 112 loads of fabricated product and 33 loads of trimmings and grinds sold into the spot market.
The USDA said basis bids for corn from feeders in the Southern Plains were unchanged at $2.00 to $2.15 a bushel over the Dec futures and for southwest Kansas were steady at $1.00 over Dec, which settled at $6.93, down $0.05 1/4.
No live cattle contracts were tendered for delivery Tuesday.
The CME Feeder Cattle Index for the seven days ended Monday was $174.64 per cwt up $0.03. This compares with Tuesday’s Oct contract settlement of $175.07, up $2.97.