Market News

Cattle futures finish the week lower

At the Chicago Mercantile Exchange, live and feeder cattle were down, waiting for the rest of the week’s direct business to develop. February live cattle closed $1.55 lower at $233.72 and April live cattle closed $1.55 lower at $234.67.  March feeder cattle closed $3.02 lower at $354.70 and April feeder cattle closed $3.57 lower at $353.05. 

There was another light round of direct cash cattle trade on Friday.  Live deals were marked at $232.50 to $233.  For the week, dressed business was at mostly $365, $5 higher than the prior week’s weighted average basis in Nebraska.   

At the Mitchell Livestock Market in South Dakota, steers 650 to 800 pounds sold $10 to $15 higher and steers weighing more than 800 pounds sold with a higher undertone.  Heifers in all classes sold unevenly steady.  The USDA says demand was very good.  Receipts were up on the week and the year.  Feeder supply included 53 percent steers with 95 percent of the offering weighed more than 600 pounds.  Medium and Large 1 feeder steers 855 to 899 pounds brought $340.50 to $362 and feeder steers 957 to 982 pounds brought $333.25 to $347.25.  Medium and Large 1 feeder heifers 653 to 696 pounds brought $360 to $381 and feeder heifers 851 to 893 pounds brought $308 to $331.25. 

In Missouri this past week, hay movement has been light to moderate.  The USDA says mild weather has helped stretch hay supplies as normal feeding is taking place.  Prices have stabilized and are mostly steady.  Alfalfa, supreme, medium squares, brought $250 to $300.  Alfalfa, supreme, small squares, brough t$10 to $15.  Alfalfa, premium, medium squares brought $175 to $225.  Alfalfa, good, large rounds, brought $150 to $175.  Alfalfa, good, small squares, brought $6 to $10.  Mixed grass, premium, medium squares, brought $150 to $200. Mixed grass, good/premium, large rounds, brought $100 to $150.  Mixed grass, fair/good, large rounds, brought $75 to $125. 

Boxed beef ended the day mixed with light to moderate demand for moderate offerings.  Choice was $1.16 lower at $355.63 and Select was $.11 higher at $352.17.  The Choice/Select spread was at $3.46. Estimated cattle slaughter was 86,000 head, down 30,000 on the week and down nearly 20,000 on the year.  Saturday’s estimated kill is 2,000 head, down 31,000 on the week and down about 8,000 on the year. 

Lean hog futures ended the day mixed, adjusting spreads. February lean hogs closed $.57 lower at $85.30 and April lean hogs closed $.15 lower at $91.77.

Cash hogs closed lower with a light negotiated run.  The cash hog market continues to look for direction.  Processors have been lackluster at best when it comes to moving negotiated numbers.  Demand remains a big question right now, specifically on the global market.  Pork remains a competitively priced protein in the retail space and that is likely helping provide some support the domestic market.  The industry continues to monitor the availability of market-ready hogs, which is ample, and hog weights, which continue to run well-above year-ago levels. Barrows and gilts at the National Daily Direct were $1.29 lower with a base range of $65 to $73 and a weighted average of $68.08.  Prices at the Regional Direct Markets were not reported due to confidentiality.  The five-day rolling average for the Iowa/Minnesota was $73.27 and it was $72.76 for the Western Corn Belt.

According to the USDA’s Weekly Feeder Pig Report, early-weaned pigs were mostly $6 higher and feeder pigs were mostly $8 higher.  Trade was moderate with moderate to good demand with light to moderate offerings.  The weighted average for all early-weaned pigs was $77.78 and the weighted average for all feeder pigs was $103.92. 

Butcher hog prices at the Midwest cash markets were steady in Dorchester, Wisconsin at $55.  Prices at Red Oak, Iowa this week were steady at $45 to $50. At Illinois, slaughter sow prices were steady with moderate demand for light offerings at $38 to $50.  Barrows and gilts were steady with moderate demand for moderate offerings at $40 to $48.  Boars ranged from $18 to $22 and $12 to $15. 

Pork values were higher, up $1.53 at $92.32.  All of the primals were up, with loins and bellies leading the way. Estimated hog slaughter was 484,000 head, up 7,000 on the week and up about 17,000 on the year.  Saturday’s estimated kill is 233,000 head, down 158,000 on the week and up about 70,000 on the year.