July sales of slaughter-ready cattle to beef packers, or marketings, from Kansas feedlots rose sharply from June, surpassing July 2023 totals but falling short of the 2018-2022 average.
For comparison, the USDA reported US marketings for the month were up from June and a year earlier.
The Kansas data came from the Kansas State University Extension Service which conducts targeted surveys of representative feedlots around the state to gather feedlot performance data. The information is then compiled into the activity of an “average” Kansas feedlot, graphed and published on the LMIC website.
MARKETINGS JUMP
The data showed that average Kansas feedlot marketed 4,909 head of slaughter-ready cattle to packers in July, up 1,112, or 29.3%, from 3,797 in June and up 209, or 4.45%, from 4,700 last year but down 138, or 2.73%, from the previous five-year average of 5,047.
Marketings from the average Kansas feedlot also rose sharply in June, so the June-July marketing increase mimicked the 2018-2022 average May-June move. On average, August marketings will rise further to the annual high before falling off to the October annual low.
Last year, there was a May-June marketings rise, a small decline in July, a similar rise in August, then a decline to an annual low in November.
FINAL WEIGHTS RISE
Final weights of fed cattle from the average Kansas feedlot rose in July, averaging 1,450 pounds. This was up 19, or 1.33%, from 1,431 in June, up 48, or 3.42%, from 1,402 in July 2023 and up 33, or 2.88%, from the previous five-year average of 1,147 pounds.
On average, final weights decline from January into the annual low in April then begin to climb into the November annual high with a dip in September. Last year, weights declined from February and moved more or less sideways through July where they rose into December.
This year, average weights declined through March, inched higher in April then peaked in May before falling back again in June only to bounce again in July. However, they have been higher than last year and the five-year average since March.
LONGER DAYS ON FEED
With exit weights up, it correlates that the average number of days marketed cattle spent on feed also was up in July. The data showed that the average number of days cattle from the average Kansas feedlot was 204, compared with 202 in June, 195 a year earlier and 181 for the 2018-2022 average.
Days on feed rose above last year in April and have remained there through July. On average, days on feed shows a slow, rolling top from April through June before dropping off to the October low.
CATTLE, BEEF RECAP
The USDA reported formula and contract base prices for live FOB steers and heifers this week ranged from $179.95 per cwt to $182.51, compared with last week’s range of $181.21 to $188.70 per cwt. FOB dressed steers, and heifers went for $286.58 per cwt to $288.03, compared with $287.36 to $291.88.
The USDA choice cutout Tuesday was down $0.29 per cwt at $308.23 while select was down $1.48 at $297.01. The choice/select spread widened to $11.02 from $10.03 with 114 loads of fabricated product and 33 loads of trimmings and grinds sold into the spot market.
The weighted average USDA listed wholesale price for fresh 90% lean beef was $379.22 per cwt, and 50% beef was $114.97.
The USDA said basis bids for corn from feeders in the Southern Plains were unchanged at $1.31 to $1.41 a bushel over the Dec corn contract, which settled at $4.04 1/4 a bushel, down $0.03.
The CME Feeder Cattle Index for the seven days ended Monday was $242.99 per cwt, down $0.93. This compares with Tuesday’s Sep contract settlement of $238.47, up $0.75.