Market News

Cattle futures higher to finish the week

At the Chicago Mercantile Exchange, live and feeder cattle were mostly higher on tight ready-supplies.  August live cattle closed $.12 higher at $241.65 and October live cattle closed $.32 higher at $234.12.  August feeder cattle closed $.52 higher at $353.90 and September feeder cattle closed $.75 higher at $350.82. 

There was a light to moderate round of direct cattle business throughout the week.  Live deals in the South ranged from $255 to $258, $1 lower to $3 higher than the prio week’s weighted averages.  Dressed deals for the week were at mostly $405, steady with the previous week’s weighted average basis in Nebraska. 

At the Mitchell Livestock Market in South Dakota, the offering was mostly yearlings.  Steers weighing more than 700 pounds were $7 to $9 higher.  Heifers sold with a higher undertone.  The USDA says most of the offering was load lots.  Demand was good.  Receipts were down from the most recent sale.  Feeder supply included 90 percent steers with 98 percent of the offering weighing more than 600 pounds.  Medium and Large 1 feeder steers 934 to 939 pounds brought $342 to $349.50 and feeder steers 908 to 947 pounds brought $330 to $335.  Medium and Large 1 feeder heifers 907 pounds brought $312. 

In Nebraska, round bales of alfalfa were steady to $5 higher.  Large squares bales of alfalfa were steady.  Old crop round bales of grass hay were steady to $30 higher.  Ground and delivered hay was mostly steady, except in the western area, which was steady to $10 higher.  Old crop dehy and sun-cured pellets were steady.  The USDA says demand was good.  Pasture growth has been slow, so there are several livestock producers on the hunt for hay.  In Central Nebraska, Alfalfa, ground, brought $205.  In the East, Pellets, 17% dehydrated brought $350.  Pellets, 17%, sun-cured, brought $250.  Alflafa, supreme, large squares, brought $245.  In the Platte Valley region, alfalfa, ground, brought $180.  Pellets <15%, sun-cured, brought $320.  Pellets, 17%, dehydrated brought $350.  In the West, Alfalfa, ground, brought $225 to $350.  Alfalfa, pellets, 17%, sun-cured, brought $350. 

Boxed beef closed mixed with fairly light demand for light offerings.  Choice was $.04 higher at $392.70 and Select was $.35 lower at $382.69.  The Choice/Select spread was $10.01.  Estimated cattle slaughter was 100,000 head, down 5,000 on the week and down more than 2,000 on the year.  Saturday’s estimated kill is 5,000 head, down 9,000 on the week and up about 3,500 on the year. 

Lean hog futures finished the day lower on fund and technical selling.  July lean hogs closed $2.80 lower at $98.80 and August lean hogs closed $2.05 lower at $97.22. 

Cash hogs closed lower with a light negotiated run.  Demand for US pork remains a primary focus.  Supplies of market-ready hogs are ample, and weights are running above year-ago, which means there is plenty of pork available.  Global demand for US pork has had some bright spots, but there are still lingering concerns about its long-term strength.  Domestic demand could see a boost with the return of summer grilling season, especially as pork remains a very competitively priced protein in the retail space. Barrows and gilts at the National Daily Direct closed $1.81 lower with a base range of $87 to $97 and a weighted average of $93.85; the Iowa/Minnesota is $.92 lower with a weighted average of $95.19; the Western Corn Belt closed $.53 lower with a weighted average of $95.50. 

According to the USDA’s Weekly Feeder Pig Report, early-weaned pigs were $5 lower and feeder pigs were steady.  Trade was moderate, with light to moderate demand, and moderate to heavy offerings.  The weighted average for early-weaned pigs is $60.19 and the weighted average for all feeder pigs was $96.76. 

Butcher hog prices at the Midwest cash markets are steady at $62. At Illinois, slaughter sows were steady with moderate demand for light offerings at $47 to $59.  Barrows and gilts were steady with moderate demand for moderate offerings at $49 to $59.  Boars ranged from $25 to $30 and $15 to $20. 

Pork values closed sharply higher, up $3.05 at $101.18.  Loins, butts, picnics, and ribs were all sharply higher.  Hams were up.  Bellies were sharply lower.