Market News

Cattle futures higher heading into Friday

At the Chicago Mercantile Exchange, live and feeder cattle were higher, watching direct business develop.  August live cattle closed $4.47 higher at $216.82 and October live cattle closed $3.37 higher at $213.97.  August feeder cattle closed $5.27 higher at $309.15 and September feeder closed $5.15 higher at $308.30. 

There was another light round of direct cattle trade that took place on Thursday.  Live deals in Kansas were at $230, which is well above Wednesday’s trade and $8 higher than the prior week’s weighted averages.  Bids were at $235 and $228 to $230 live, depending on the area.  Asking prices are at $230-plus live in the South and $380-plus dressed in the North. There was a light round of direct cash cattle business on Wednesday.  Live deals in the South were at $225 to $228, that’s $3 to $6 higher than the previous week’s weighted average basis. 

At the Huss Livestock Market in Nebraska, compared to two weeks ago, steers and heifers were steady to $15 higher.  The USDA says demand was good from the buyers inhouse and online.  There were some calves in the offering, ranging from newborn to 276 pounds that brought anywhere from $410 to $1,410 per head.  Receipts were down from the most recent sale.  Feeder supply included 58 percent steers and 91 percent of the offering weighed more than 600 pounds.  Medium and Large 1 feeder steers 650 to 695 pounds brought $342.50 to $369.50 and feeder steers 762 to 783 pounds brought $323.25 to $333.  Medium and Large 1 feeder heifers 643 to 644 pounds brought $332 to $336 and feeder heifers 721 to 732 pounds brought $299 to $303.50. 

Boxed beef closed mixed with light to moderate demand for light offerings.  Choice was $1.69 higher at $366.85 and Select was $.11 lower at $356.61.  The Choice/Select spread was $10.24.    

Estimated cattle slaughter was 120,000 head – even on the week and about even on the year.

Lean hog futures closed mixed, mostly higher amid ongoing demand uncertainty.  July lean hogs closed $.22 lower at $104.80 and August lean hogs closed $.45 lower at $107.05. 

Cash hogs closed lower with a moderate negotiated run.  Processors were able to move needed numbers without having to get aggressive in their procurement efforts.  Global demand for U.S. pork has been strong, including another solid week for export sales as China returned to the purchaser’s list.  The industry remains optimistic that domestic demand will find some additional growth with the return of the summer grilling season.  Barrows and gilts at the National Daily Direct were $1.20 lower with a base range of $95 to $105 and a weighted average of $101.85; the Iowa/Minnesota closed $.74 lower with a weighted average of $102.55; the Western Corn Belt closed $.75 lower with a weighted average of $102.71.  Prices at the Eastern Corn Belt were not reported due to confidentiality. 

Butcher hog prices at the Midwest cash markets were steady at midday at $69. At Illinois, slaughter sow prices were $2 higher with moderate demand for heavy offerings at $49 to $61.  Barrows and gilts were $3 higher with moderate demand for moderate offerings at $57 to $67.  Boars ranged from $25 to $35 and $18 to $25.

Pork values closed higher – up $1.50 at $108.12.  Bellies were sharply higher.  Butts, loins, and picnics were higher.  Hams and ribs were lower. Estimated hog slaughter was 480,000 head – up 5,000 on the week and up about 10,000 on the year.