The May 1 Cattle on Feed report showed the number on feed down 1.4 percent from a year earlier. This was the same as the average of the trade estimates. The number of cattle placed on feed during April was down two percent, but the average of the trade showed placements down 5.6 percent Marketings during April were up 10.7 percent, but the trade estimates were for an increase of 8.1 percent.

The live cattle futures market on Monday responded with several contracts closing down over $1.00 per cwt but some gains were prevalent in early-Tuesday trading, but the close on Tuesday was with more contracts showing losses than gains.

The October contract near $105 per cwt looks high to us unless we see larger increases in exports than experience through March.

The weights of the cattle placed on feed during April averaged heavier than a year earlier. The number of cattle placed during April weighing less than 600-pounds was down 16 percent from a year earlier. The number placed weighing 600-699-pounds was up 5.7 percent, the number placed weighing 700-799-pounds was down 0.5 percent and the number placed weighing 800-pounds-and-heavier was up three percent from 12 months earlier.

The average retail price of Choice beef in April at $4.172 per pound was down 0.8 percent from March 2008 and down 2.7 percent from April a year earlier. Food prices in April were up the most in 18 years, but beef was not one of the items responsible.

Beef prices for January-April were 1.2 percent above 12 months earlier. Only the retailer-processor benefited from the higher prices. The packers' margin was down 12.2 percent in January-April from a year earlier, and fed cattle prices for January-April were 2.5 percent below the same months of 2007.

Wholesale beef prices showed Choice beef as unchanged from a week earlier. Select beef on Friday at $153.07 per cwt was up $0.94 per cwt from seven days earlier.

The weighted average live price for the five-market area through Thursday at $94.40 per cwt was up $0.50 per cwt from a week earlier. The weighted average negotiated carcass price for the five-market area through Thursday at $148.70 per cwt was down $1.20 per cwt from seven days earlier.

Feeder cattle prices at Oklahoma City this week were steady with exception of heifers over 800 pounds, which were $1-2 per cwt higher than last week. Stocker cattle and calf prices were steady.

The prices for medium and large frame number 1 steers this week at Oklahoma City were: 400-500 pounds $128.50-145 per cwt, 500-600 pounds 119-128 per cwt, 600-700-pound calves $106.50-114.75, 700-725-pound calves $100-106 per cwt, 600-700-pound yearlings $110-120 per cwt, 700-800-pound yearlings $106-113.75 per cwt and 800-1,000 pounds $95-108 per cwt.

Slaughter this week under Federal Inspection was estimated at 722 thousand head, up 3 percent from a year earlier.

TheCattleSite News Desk