New Holland, PA Fri Dec 05, 2014 USDA- Ag Market News
Lancaster Weekly Cattle Summary for week ending December 05, 2014
This Week: 2383 2260
Last Week: 1518 1332
Last Year: 2361 2244
This week in Lancaster County, slaughter steers sold mostly 1.00-2.00
lower on lighter demand. Trade volume of live cattle has been light. Box beef
prices have been stagnant closing at 154.42/cwt (Choice cutout) on Thursday.
This is about 3.00 lower from last Friday's close. There has been some
resistance going into the holiday season concerning the high price of beef,
but prices are holding up fairly well over the past few weeks and beef
movement has been moderate. Storage inventories remain light in response to
retailers showing little interest in forward purchasing product until they
are sure consumers are willing to buy it. Most of the product needed for
holiday orders will be purchased by mid-December, but at the moment beef's
"real value" is the factor floating in most market participant's minds.
Retailers don't want to get stuck with record high product, beef processors
need to increase box beef values to minimize their current flow of red ink,
and cattle feeders are leveraging tight cattle supplies as a means to pull
every dollar they can to maximize profits on fewer cattle on feed. Futures
retreated this week. The sell-off in cattle futures has been largely
influenced by technical aspects of the trade including outside commodity
markets, i.e. sharp declines in crude oil and a strong US dollar. Although
these factors have limited "fundamental" influence on cattle markets, they do
cause speculators to pull to the sidelines and often times liquidate long
positions. Chart-traders were motivated to pull out of the market late in the
week when futures broke below the 50-day moving average. December CME Live
cattle futures closed at 166.45/cwt on Thursday. The cash cattle trade in the
Midwest was relatively inactive early in the week, but reported some light
trade Thursday at 166.00/cwt Live. There is plenty of anxiety as to the
direction of cattle prices in the near future, but in uncertain times it's
wise to rely on facts over emotion. What is known about the market is box
beef prices have been trading unevenly steady over the past couple weeks with
mostly slight gains in middle meats and small declines in end meats, very
common for this time of year. Fuel prices are falling and resulting in
increased disposable income for the US consumer. The dollar is higher,
allowing for greater buying power of foreign beef, but most of this is in the
form of lean grinding beef, something the US is in a dire shortage of due to
an 18% YTD reduction in cow slaughter. Fed cattle supplies are tight and will
remain that way until late spring or early summer. Beef demand is the
greatest unknown, but understand that demand is gauged over a period of time
not a couple of days, and thus far has held up in the wake of higher prices,
hence relatively steady box beef prices. As for the sell-off in the futures,
greater evidence points towards technical aspects of the market rather than
fundamentals. This can cause some short-term volatility in the cash trade,
but rarely holds long-term trends. All slaughter and feeder cattle are
purchased per cwt with exception of dairy cattle purchased on a per head
For detailed cattle quotations refer to web addresses:
http://www.ams.usda.gov/mnreports/LN_LS140.txt (New Holland Monday)
http://www.ams.usda.gov/mnreports/LN_LS142.txt (New Holland Thursday)
http://www.ams.usda.gov/mnreports/LN_LS146.txt (Vintage Monday)
http://www.ams.usda.gov/mnreports/LN_LS141.txt (Vintage Tuesday)
Slaughter Steers: High Choice and Prime 3-4 1300-1600 lbs 166.00-173.00.
Choice 2-3 1250-1650 lbs 163.00-170.00. Select 1-3 1350-1750 lbs 155.00-
Slaughter Holsteins: High Choice and Prime 3-4 1350-1700 lbs 156.00-
163.00. Choice 2-3 1350-1650 lbs 150.00-155.00. Select 1-2 1300-1750 lbs
Slaughter Heifers: High choice and Prime 3-4 1100-1500 lbs 165.00-168.00.
Choice 2-3 1200-1500 lbs 158.00-163.50. Select 1-2 1200-1550 lbs 148.00-
Percent Lean Avg. Dressing High Dressing Low Dressing
Premium White 65-75 105.00-109.50 ------------- 96.00-101.00
Breakers 75-80 102.00-112.00 112.00-115.00 95.00-102.00
Boners 80-85 99.00-106.00 106.00-107.00 89.00-99.00
Lean 85-90 94.00-102.00 102.00-105.00 81.00-93.50
Slaughter Bulls: Yield Grade 1 915-2045 lbs avg dress 125.00-133.00, high
dress 133.00-143.50, low dress 118.00-125.00.
Calf Summary: This week in Lancaster County, Holstein bull calves took
a serious nosedive as the week progressed starting the week unevenly steady
and ending up as much as 100.00 lower. Demand was moderate to light. Heifers
sold mostly 20.00-30.00 lower for the week with moderate demand. The
Composite Veal Carcass Values for the Northeast United States was quoted
from 425.00-435.00/cwt as of Thursday afternoon, with a weighted average
value of 429.04/cwt (Hide-off). All prices per cwt.
For detailed veal market information refer to the link below:
http://www.ams.usda.gov/mnreports/lswveal.pdf (National Veal Summary)
Monday- Holstein Bull Calves: Number 1 120-125 lbs 385.00-400.00; 75-115
lbs 425.00-475.00. Number 2 75-120 lbs 375.00-425.00. Number 3 70-110 lbs
275.00-350.00. Utility 55-110 lbs 150.00-250.00. Holstein Heifer Calves:
Number 1 80-110 lbs 325.00-375.00. Number 2 80-105 lbs 200.00-300.00; 70-80
lbs 100.00-200.00. Non-Tubing/Utility 85-115 lbs 50.00-125.00.
Tuesday- Graded Holstein Bull Calves: Number 1 121 lbs 367.00; 103-112 lbs
400.00-417.00; 80-95 lbs 430.00-460.00. Number 2 102-114 lbs 390.00-400.00;
90-95 lbs 412.00-417.00; 83 lbs 432.00-440.00; 75 lbs 380.00. Number 3 109
lbs 360.00; 83-95 lbs 385.00-395.00. Utility 91-105 lbs 300.00-305.00; 63-83
lbs 320.00-335.00. Graded Holstein Heifers: Number 1 112 lbs 335.00; 92-102
lbs 360.00-385.00; 85 lbs 260.00. Number 2 91-103 lbs 345.00-350.00; 74-84
lbs 200.00-250.00. Non tubing/utility 74-82 lbs 70.00-90.00; 63 lbs 30.00.
Thursday- Graded Holstein Bull Calves: Number 1 110-128 lbs 350.00-375.00;
94-108 lbs 385.00-395.00; 86-92 lbs 422.00-415.00. Number 2 106-128 lbs
340.00-360.00; 94-104 lbs 380.00-410.00; 80-92 lbs 422.00-432.00.
Number 3 100-130 lbs 335.00-340.00; 80-98 lbs 425.00-442.00; 72-78 lbs
395.00. Utility 90-110 lbs 150.00-160.00; 80-88 lbs 260.00; 60-78 lbs
190.00. Holstein Heifer Calves: Number 1 90-105 lbs 310.00-390.00.
Number 2 80-100 lbs 290.00-340.00. Non tubing/Utility 60-90 lbs 20.00-40.00.
Dairy Report: (Receipts: 242)
Compared to last week, Dairy cows sold mostly 100.00-200.00 lower compared
to last week. Demand was moderate. Bred heifers sold mostly steady to 100.00
lower compared to last week. Demand was moderate. Wednesday's supply included
96 fresh milking cows, 10 springing cows, 20 short bred cows, 39 springing
heifers, 35 short bred heifers, 28 open heifers, and 11 bulls. One hundred
percent of reported supply Holsteins unless otherwise noted. All sales sold
on a per head basis.
Springing Cows: (7-9 months):
Bred Cows: (4-6 months):
Short Bred Cows: (1-3 months):
Supreme: 2500.00 Individual
Springing Heifers: (7-9 months):
Bred Heifers: (4-6 months):
Short Bred Heifers: (1-3 months):
Supreme: 1950.00 Individual
300-600 lbs 585.00
600-900 lbs 775.00-950.00
900-1200 lbs 1375.00-1425.00
300-600 lbs 300.00-350.00
900-1200 lbs 925.00-1075.00
Bulls: 600-900 lbs 1250.00. 900-1200 lbs 1025.00-1425.00,
Jersey/Crossbred 1025.00. 1200-1500 lbs 1250.00-1500.00.
Price and grade information is reported by QSA-USDA Market News Service.
While market reports reflect the majority of Livestock sold at each sale,
there are instances where animals do not fit reporting categories and are not
included in this report.
Source: USDA Ag Market News, New Holland-Lancaster County, PA
Levi Geyer, OIC / Cell 717-406-7350
John Stacy, Market Reporter / Office 717-354-2391