Drought Moves East, Ranchers Retaining Heifers | June 27 Montana Markets

Drought Moves East, Ranchers Retaining Heifers | June 27 Montana Markets

Drought Monitor Update June 23

Little precipitation fell from the Rockies westward to the Pacific Coast last week. Overall, there was little change in conditions except along the northern tier of states from Montana westward through Washington and Oregon. Continued dryness and exceptionally hot weather kept dryness and drought increasing most significantly across eastern Washington, central and northern Idaho, and western Montana. These areas recorded generally 6 to 12 inches less precipitation than normal in the last 6 months, and less than half of normal amounts in the last 60 days.

View the most current Montana conditions from the U.S. Drought Monitor.

National Feeder & Stocker Cattle Summary – Week Ending June 27, 2015

Receipts This Week: 254,800 Total – 130,100 (Auctions); 65,500 (Direct); 59,200 (Video/Internet)

Compared to last week: yearling feeder cattle sold mostly steady with spots 2.00 higher to 2.00 lower.  Steer and heifer calves traded steady to 5.00 lower throughout auctions in the Midwest and the Southeast.

The Northern Livestock Video’s Early Summer Special featured over 40,000 head of some of the fanciest cattle that walk the outdoors on Monday and Tuesday.  Many high-country ranchers are adding value by preserving their cattle’s all-natural or NHTC status with near 1300 head of value added steer calves weighing between 500-550 lbs averaging 519 lbs sold with a weighted average price of 307.03 for November delivery. In addition, three loads of value added current delivery steers averaging 825 lbs sold for 243.00. It was also noted that Montana and Wyoming ranchers are aggressively rebuilding their herds with only 26 percent of sales being heifers. Strings of yearlings will soon be moving off double-stocked pastures in the major grazing regions and the dog days of summer will soon be upon us right as consumer beef demand usually suffers its post July 4th hangover.

Last Friday’s Cattle on Feed report was viewed as neutral to slightly bullish as placements were down near 10 percent compared to year ago levels. Feedlots in most cases continue to face stiff competition from farmer/feeders with plenty of corn on hand, backgrounders and grass operations.

• Auction Receipts: 130,100; Last Week: 118,900; Last Year: 151,000
  • Montana Not enough feeder cattle sales to report
  • Northern Livestock Video: 40,400. 48 pct over 600 lbs. 26 pct heifers.

Read more from the USDA’s June 27 National Feeder & Stocker Cattle Summary.

Weekly Montana Hay Report – June 27, 2015

Compared to last week: Trade activity is slow on light demand. Scattered showers across the region are adding to difficulty in 1st cutting production. Improved demand on Dairy quality and export hay. Light demand on cow hay due to Moderate to Heavy supply in the country. This week the US drought monitor again increased the land area in abnormally dry and moderate drought status. Most of this land is in the northwest and southwest corners of the state, where the western drought has inched its way east.

• Alfalfa:
  • Good: Large squares, 140.00; Round bales, 120.00
  • Fair: Large squares, 90.00-130.00
• Grass:
  • Premium: Small squares, 180.00
  • Good: Large squares, 120.00
  • Fair: Round bales, 110.00

Read more from the USDA’s June 27 Weekly Montana Hay Report.