February 1, 2016

 
 
 
 

Monday Memo

 
 
 
 

Cattle Market Notes 
Dr. Brian Williams​
Week ending January 29, 2016

Cash Cattle:
Cash traded fed cattle finished the week higher. The five-area fed steer price ended the week averaging $131.00 for live sales, and $209.16 for dressed; respectively, up $4.38 and $7.16. Total volume sold was down 2,000 head from a week ago and up 4,000 head from last year.
Feeder steer cattle and calves were mixed across the U.S. this week. Oklahoma City feeder cattle were $3 to $10 higher than a week ago for most weight classes. In Mississippi auctions, lighter weight feeders weighing 450-500 pounds were up $2.50 from a week ago, averaging $192.50, while heavy steers were averaging $140.00, up $12.50 from last week.

Futures:
Live cattle futures and feeder futures were mixed this week. February live cattle were up $1.90 on the week and $20.05 lower than a year ago at $134.80, while April live cattle were down $0.53 from last week and down $18.78 from a year ago. Feeder cattle were lower on the week with March futures down $2.93 from last Friday and down $48.98 from a year ago at $156.38 while May futures are down $3.98 on the week. Nearby corn futures are up $0.01 from a week ago while May futures are also up $0.02

Beef:                                                                                            
Wholesale boxed beef prices are down compared to a week ago. Choice boxes averaged $221.40, down $7.33 from a week ago and $25.29 lower than a year ago. Select boxes ended the week with an average of $216.59, down $6.72 from last week. The choice-select spread narrowed from $5.42 a week ago to $4.81 this week
 
 
 
 
 

BBQ “NACHOS”

  
Total Recipe Time: 35 to 40 minutes

Makes 10 to 12 servings
 
 
 
 
 


February
6  - MS Hereford Assoc. Annual Meeting, MCA office 6:30 p.m.

6 - MS Red Angus Meeting,  
     MCA office, 3:00 p.m. 

12-13 -   MCA Convention & Dixie National Farm Expo

 
 
 
 
 
February 27, 2016
Tylertown, MS
 
 
 
 
 

MCA Online!
You can pay your MCA dues online. MCA is looking out for cattle producers in Mississippi. MCA monitors the legislative and regulatory activity in Jackson and Washington, D.C. We're working every day to influence producer legislation in a manner that benefits cattle producers. Click here to learn more.
 
 
 
 
 
51,000 Attend Convention
FFA teams from 18 Mississippi high schools joined 51,000 other FFA members for their 88th annual national convention in Louisville, KY. The teams competed in 22 Career Development Events ranging from Food Science and Techlology to Livestock Evaluation. 
Congratulations to all the winners!


 
 
 
 

CattleFax Predicts Market Shock Is Nearly Over, Turbulence Still Ahead

 
 
 
 
Insights about the recent market price shocks and potential for future turbulence were discussed with more than 2,000 beef producers at the CattleFax Outlook Session held during the 2016 Cattle Industry Convention and NCBA Trade Show.  
The downward spiral from the late 2014 and early 2015 record-high cattle prices has been tough for many in the business, but CattleFax CEO Randy Blach said the steepest portion of the market correction has passed.  He explained that tighter protein supplies and stronger exports created the ‘perfect storm’ for the cattle market to reach the extreme highs. Animal health challenges limited poultry and pork production in 2014 – creating the tightest per capita U.S. net protein supply in the last 20 years.  
“We are coming off historic highs in the cattle market, created by unique conditions in both the global and domestic protein markets,” said Blach. “Dynamics, specifically larger protein supplies, led to a significant correction in price in 2015. A large portion of the market down trend is over now. However, the cycle shows prices continuing to trend lower in 2016, 2017 and 2018.” 
Analysts predicted the cattle feeder – after losing about $200 per head in 2015 – will be slightly profitable this year. Stocker operators will experience tighter margins, and cow/calf producers will remain profitable. The team of economists expect fed cattle prices will average $130 to $135/cwt. in 2016.
“Cow/calf producers will still be profitable, but at substantially lower levels than the past two years,” said Kevin Good, Senior Analyst and Fed Cattle Market Specialist, CattleFax. “We predict the cattle feeder will have tight margins for the year with potential for profitability by mid-year.”
See more here. 
 
 
 
 
 
Live Auction Items
Items for the Live Auction Friday, February 12th during the Cattlemen's Round Up & BBQ are now on display at the MCA office. Some of the items we have for the auction include; an offshore fishing trip, a commemorative Henry Golden Boy .22 Mag rife, riding toy tractor,  farm toys, handmade afghan, gift baskets, and much more! 
One item that will be up for auction to benefit the CattleWomen will be a one day guided bass fishing trip on the big lake at Bozeman Farms with FLW and Major League Fishing Pro Pete Ponds.
 
 
 
 
Also available to bid on is a relaxing get-away at the beautiful Legacy Key Condominium in Orange Beach, Alabama. 
The beautiful 3 bedroom/3 bath condo offers fully-equipped kitchens with modern appliances, washer/dryer, whirlpool tub, cable TV and free wireless Internet access.
Also included is a two-day fishing trip aboard the Tacky Jack.
Remember if you can't be at the Round Up you can still put a bid in on any item at the auction. Call the office for more details. 
 
 
 
 
 
MCA Convention
Make plans for you and your family to attend the 2016 MCA Convention and Dixie National Farm Expo.
Events will kick off Friday night at 6:30 in the Trade Mart for the Cattlemen's Round Up & BBQ. This new event will have good food, games, and live music from Southern Grass. This great event for the family will also include the  Live Auction featuring items for your home and farm. 
Saturday will begin at 8:00 a.m. with the opening of the Dixie National Farm Expo featuring vendors from all aspects of agriculture. The Annual Membership Meeting will begin at 9:30 and will include an update on the long-term cattle market by Dr. Derrell Peel, Extension Economist from Oklahoma State University. The highlight of the convention will be the Awards Luncheon on Saturday where we will award over $45,000 in scholarships and honor outgoing president, Harold Newcomb.
Make your plans to attend this great event!
To register go to the MCA Website.
 
 
 
 
 
Featured Convention Speaker
 Dr. Derrell S. Peel, has served as the Extension Livestock Marketing Specialist since he came to Oklahoma State University in 1989.  He has B.S. and M.S. degrees from Montana State University and a Ph.D. from the University of Illinois. His main program areas at Oklahoma State University include livestock market outlook and marketing/risk management education for livestock producers.  Derrell also works in the area of international livestock and meat trade with particular focus on Mexico and Canada and the North American livestock and meat industry. He lived in Mexico on sabbatical in 2001 and has developed an extensive knowledge of the Mexican cattle and beef industry and the eco- nomics of cattle and beef trade between the U.S. and Mexico. 
 
 
 
 
 
January Cattle Inventory
The United States Department of Agriculture’s National Agricultural Statistics Service (USDA, NASS) released their Bi-annual Cattle Inventory report Friday afternoon (January 29, 2016). The total U.S. inventory of all cattle and calves 92 million head as of January 1, 2016, a 3 percent increase from a year ago. Beef replacement heifers in the U.S. were also up 3 percent from a year ago while beef cows were up 4% from a year ago.
 
 
 
 
 
BQA Training Scheduled
The Mississippi Beef Quality Assurance (MS-BQA) Program identifies areas in beef production where defects in quality occur. The MS-BQA Program is a cooperative effort between beef producers, veterinarians, nutritionists, and professionals from the Mississippi Cattlemen’s Association, Mississippi Farm Bureau Federation, MSU Extension Service, and MSU College of Veterinary Medicine, who believe that cattle managed under BQA guidelines will be less likely to contain a violative residue, injection-site tissue damage, or foreign metal such as broken needles.
Several face to face BQA trainings are scheduled  throughout the state. These meetings are being hosted in partnership with local sale barns. A certification fee of $15 is required and includes manual, vaccine cooler, and bumper sticker. Certifications begin at 6:30.
March 25 -  Verona  
March 29 -  Natchez 
April 14 -  Grenada Stockyards
 
 
 
 
 
Dixie National Events
A complete schedule for the Dixie National Livestock Show and Rodeo has been posted on the Mississippi Department of Agriculture's website. To see a detailed list of the events please click here.
 
 
 
 
Allied Industry Members
 
 
 
 
 

680 Monroe St. Suite A • Jackson, MS 39202 |  601·354·8951

www.mscattlemen.org

 
 
            
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