Weekly federally inspected dressed cattle weights look to close out the year above last year and the 2014-2018 average without ever crossing below either line.
Data from the USDA’s Agricultural Marketing Service and National Agricultural Statistics Service, that have been compiled by the Livestock Marketing Information Center in Denver show that weekly FI cattle dressed weights are moderating in terms of previous years, but they remain higher than last year and the 2014-2015 averages.
ALL CATTLE WEIGHTS HIGHER
The data show the average carcass weight for all cattle slaughtered last week was 842 pounds, unchanged from the previous week but up five, or 0.60%, from 837 in the same week a year ago and up 5.2 pounds, or 0.62%, from 836.8 pounds for the 2014-2018 average.
This year’s heavier-than-average carcass weights were in sharp contrast to last year when FI carcass weights were below the five-year average in all but a handful of weeks.
Carcass weights showed their greatest divergence from last year or the five-year average in early June just as packing plants were reopening after being shut down by surges in COVID-19 cases among employees.
In most years, FI carcass weights will decline through the December holidays and continue an uneven decline into late spring. Wintry weather and more calf-fed cattle decrease the eventual carcass weights of the cattle.
STEER DRESSED WEITHTS ALSO HIGHER
Federally inspected steer dressed weights also have narrowed the gap with last year and the previous five-year average, but still remain well above both.
And, steer carcass weights last week took a counter-seasonal bounce. However, the seasonalities for a weight decline in December are strong, so last week’s bounce may not last.
Steer carcass weights last week averaged 930 pounds, up six, or 0.65%, from 924 the week before and up 18, or 1.97%, from last year’s 912 pounds. Last week’s carcass weights also were up 19.8 pounds, or 2.18%, from the 2014-2018 average of 910.2 pounds.
The higher dressed weights of steers this year is interesting in that steer live weights in the Texas/Oklahoma/New Mexico area have been running near last year and the previous five-year average since early September.
DRESSED HEIFER WEIGHTS MODERATING MORE
Overall, dressed heifer carcass weights have been moderating more over the last few weeks but remain above last year and the previous five-year average.
The last weekly dressed heifer weight was 846 pounds, steady with the previous week but up five, or 0.59%, from 841 a year earlier and up 6.2, or 0.74%, from the five-year average of 839.8 pounds.
Heifer carcass weights have a strong tendency to decline into the end of the year along with steers.
CATTLE, BEEF RECAP
Fed cattle trading last week was seen at $110 to $111 per cwt on a live basis, steady to up $1 from the previous week. Dressed-basis trading was reported at $171 to $174 per cwt, down $1 to up $2.
The USDA choice cutout Friday was down $2.21 per cwt at $242.85, while select was down $0.22 at $220.68. The choice/select spread narrowed to $22.17 from $24.16 with 36 loads of fabricated product and 15 loads of trimmings and grinds sold into the spot market.
The USDA reported Friday that basis bids for corn from livestock feeding operations in the Southern Plains were unchanged at $1.05 to $1.12 a bushel over the Dec CBOT futures contract, which settled at $4.25 1/2 a bushel, up $0.05 1/2.
The CME Feeder Cattle Index for the seven days ended Wednesday was $136.90 per cwt, down $0.53. This compares with Friday’s Jan contract settlement of $139.82 per cwt, down $0.35.