Market News

A slow end to the week for cash business

Direct cash cattle trade was pretty quiet Friday.  For the week, northern dressed deals were marked at $332 to $335, $4 to $7 higher than the prior week’s weighted average basis in Nebraska.  Southern live deals were at $210, $6 higher than the previous week’s business. 

At the Mobridge Livestock Exchange in South Dakota, the USDA says demand was good to very good for the offering.  The sale primarily featured fall calves.  The majority of cattle sold in packages.  Flesh varied from light to heavy and quality ranged from plain to attractive.  The market was moderate to active with several buyers in house.  Receipts were down from two weeks ago, but up on the year.  Feeder supply included 49 percent steers and 59 percent of the offering was over 600 pounds.  Medium and Large 1 feeder steers 605 to 642 pounds brought $335 to $357 and feeder steers 755 to 776 pounds brought $311 to $330.  Medium and Large 1 feeder heifers 603 to 642 pounds brought $308 to $326 and feeder heifers 657 to 675 pounds brought $314 to $322. 

In Nebraska, all types of hay and products (grass, alfalfa, ground and delivered, and dehydrated pellets) sold steady.  The USDA says demand was light to moderate.  There is still a lot of old-crop hay that remains, and some producers are buying up extra hay to keep on hand since prices are reasonable and there are always concerns of drought-related shortages.  In the central part of the state, ground alfalfa brought $115 to $120.  Alfalfa, good/premium, large rounds brought $90 to $100.  Alfalfa, good, large rounds, brought $70 to $80.  Alfalfa, fair/good, large rounds, brought $65.  In the East, alfalfa, pellets 17% dehydrated, brought $320.  Pellets, 17% sun-cured, brought $250 to $260.  Alfalfa, good, large rounds, brought $80 to $85.  Alfalfa, good, large rounds, brought $100.  Grass, premium, small squares brought $9 to $10.  In the Platte Valley area, alfalfa, ground, brought $130.  Pellets 17% dehydrated, brought $305 to $320.  Pellets, 17% sun-cured, brought $290. In the West, alfalfa, ground, brought $140.  Alfalfa, good/premium, large squares, brought $150.  Alfalfa, fair/good, large squares brought $120. 

Boxed beef closed lower with light to moderate demand for moderate offerings.  Choice was $1.38 lower at $331.52 and Select closed $.84 lower at $315.55.  The Choice/Select spread is $15.97. Estimated cattle slaughter was 89,000 head – down 7,000 on the week and down more than 22,000 on the year. Saturday’s estimated kill is 10,000 head – up 5,000 on the week and down 10,000 on the year.

Cash hogs had no comparison with a fairly light negotiated run. Demand for U.S. pork has been relatively strong, but it’s another week where China was noticeably absent from the USDA’s Export Sales report.  Domestic demand could see a bump as pork continues to be a competitively price protein and with grilling season just around the corner. The industry continues to monitor the availability of market-ready hogs and hog weights. Barrows and gilts at the National Daily Direct had no comparison but a base range of $77 to $87 and a weighted average of $83.25 and the Western Corn Belt had a weighted average of $84.39.  Prices at the Iowa/Minnesota and the Eastern Corn Belt were not reported due to confidentiality.

According to the USDA’s Weekly Feeder Pig report, early-weaned pigs were steady to $2 lower.  Feeder pigs had no comparison.  Demand was steady for moderate offerings.  The weighted average for all early-weaned pigs was $44.41 and the weighted average for all feeder pigs was $82.81.   

Pork values closed sharply higher – up $4.22 at $97.00.  Bellies jumped more than $14.  Butts and loins were also sharply higher.  Hams were higher while picnics were lower and ribs were sharply lower. Estimated hog slaughter was 407,000 head – down 71,000 on the week and down more than 73,000 on the year. Saturday’s estimated kill is 36,000 head – down 19,000 on the week and down more than 28,000 on the year