Market News

Cattle futures higher to start the week

At the Chicago Mercantile Exchange, live and feeder cattle were up, with the week’s showlists smaller than the previous week’s. October live cattle closed $1.75 higher at $176.92, and December live cattle closed $2.10 higher at $176.80.  October feeder cattle closed $3.77 higher at $234.72, and November feeder cattle closed $3.80 higher at $231.82. 

It was a typically quiet start for direct cash cattle trade activity. Showlists this week are lower across all major feeding areas.  Bids and asking prices have yet to be established.  Significant trade volume will likely hold out until the latter half of the week.

At the Oklahoma National Stockyards, at mid-session, feeder steers are down $1 to $5 compared to two weeks ago.  Feeder heifers over 800 pounds are lightly tested, but have a firm undertone.  Feeder heifers under 800 pounds are $2 to $7 lower.  Steer and heifer calves are $5 to $10 lower.  The USDA says demand is moderate and quality is mostly plain.  Receipts were up from two weeks ago and about steady on the year.  Feeder supply included 54% steers and 55% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 553 to 597 pounds brought $265 to $283 and feeder steers 672 to 699 pounds brought $244 to $262.  Medium and Large 1 feeder heifers 559 to 594 pounds brought $235 to $250 and feeder heifers 783 to 793 pounds brought $222.50 to $227.50. 

Boxed beef closed mixed with light and good demand for solid offerings.  Choice was $.89 lower at $308.52 and Select closed $2.37 higher at $298.49.  The Choice/Select spread is $10.03. Estimated cattle slaughter was 114,000 head – down more than 9,000 on the year.

Lean hog futures ended the day mixed, adjusting spreads. October lean hogs closed $.70 lower at $78.80 and December lean hogs closed $.12 lower at $71.10. 

Cash hogs closed higher with a solid negotiated run.  Processors picked up their procurement efforts as the day progressed and bid up to move needed numbers.  Continued strong demand for U.S. pork on the global market is helping provide price support.  But long-term concerns about domestic demand create uncertainty. The industry also continues to monitor the availability of market-ready hogs and hog weights. Barrows and gilts at the National Daily Direct closed $1.69 higher with a base range of $72 to $80 and a weighted average of $78.48; the Iowa/Minnesota closed $1.31 higher with a weighted average of $78.59; the Western Corn Belt closed $1.30 higher with a weighted average of $78.54; the Eastern Corn Belt closed $1.43 higher with a weighted average of $77.56. 

Butcher hog prices at the Midwest cash markets are steady at $60. At Illinois, slaughter sow prices were steady with moderate demand for moderate offerings at $51 to $63.  Barrows and gilts were steady with moderate demand for moderate offerings at $45 to $55.  Boars ranged from $18 to $28 and $8 to $15. 

Pork values closed modestly lower – down $.38 at $95.72. Hams were sharply lower.  Ribs were also lower.  Loins were about steady.  Butts, bellies, and picnics were higher. Estimated hog slaughter was 486,000 head – up more than 21,000 on the year.