Feeder cattle futures price quotes11/28/2023 ![]() ![]() above where the contract ultimately settled in October,” the article explains. However, in 2015, as cattle inventories recovered, the May price was $23.20 per cwt. That is, prices moved higher than expected as 20 markets evolved. “In both 20, the May price for October feeder cattle futures was considerably below the settlement index in October (below by $15.69 and $47.13, respectively). The exception was in 2018 when it undershot the price by nearly $13, says the article.Īdditionally, looking at the data following the drought of 2012 may be of value to producers. When it comes to accuracy, the article notes that over the last five years, this calculation has equaled a value within $5 per cwt of the actual price in four of the last five years, as seen in Table 2. Table provided by University of Nebraska-Lincoln steers in Nebraska in October may be around $245 to $266 per cwt. during the first half of May, then by adding the local Nebraska basis for 500-600 pound steers in October ($15 to $36 above the CME contract settlement index, the projected price for 500+ lb. “One indicator of what prices might be like this fall is to use the October CME Feeder Cattle Futures price and add the expected local basis to it,” the article explains.įor example, with the October futures contract price for feeder cattle trading around $230 per cwt. However, in volatile markets, should cow-calf producers be optimistic about profits in 2023, despite challenges with forage availability and input costs?Ī recent article written by Jay Parsons, University of Nebraska-Lincoln farm and ranch specialist at the Center for Agricultural Profitability, as well as John Hewlett, risk management specialist with the University of Wyoming, and Jeff Tranel, ag and business management specialist at Colorado State University, breaks down the cattle market and price expectations for the remainder of the year.įor many producers, the price of a weaned calf in October and November is their primary concern. As severe drought caused high cow liquidation rates over the last 18 to 24 months, the high cattle prices were not a matter of “if” but “when.” ![]()
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