Market News

Cattle futures lower to start the week

At the Chicago Mercantile Exchange, live and feeder cattle were lower ahead of the week’s direct cash business. June live cattle closed $1.42 lower at $177.15 and August lives closed $1.10 lower at $175.67.  May feeder cattle closed $.67 lower at $248.02 and August feeders closed $.92 lower at $259.62. 

Direct cash cattle trade activity started the week in its typical manner.  Business was slow with bids and asking prices not established.  Showlists this week are mixed, higher in Kansas, Nebraska and Colorado, but lower in Texas. Significant trade volume will likely be delayed until midweek or later.

At the Oklahoma National Stockyards, steers over 800 pounds were steady to $2 higher.  Steers under 800 pounds were $3 to $6 higher.  Heifers over 800 pounds were $3 to $6 higher and heifers under 800 pounds were steady to $3 higher.  The USDA says demand was good and quality was average.  Receipts were down on the week and the year.  Feeder supply included 62% steers and 84% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 903 to 942 pounds brought $215 to $230 and feeder steers 951 to 996 pounds brought $213 to $220.50.  Medium and Large 1 feeder heifers 770 to 789 pounds brought $213 to $241.50 and feeder heifers 800 to 844 pounds brought $209 to $224.

Boxed beef closed higher on solid demand for moderate offerings.  Choice was $.39 higher at $297.53 and Select closed $1.49 higher at $290.21.  The Choice/Select spread is $7.32. Estimated cattle slaughter was 113,000 head – even on the week and down about 9,000 on the year.

Lean hog futures ended the day mixed, adjusting spreads. May lean hogs closed $.25 lower at $94.02 and June lean hogs were unchanged at $102.47.

Cash hogs closed lower with a light negotiated run. Processors weren’t aggressive in their procurement efforts to start the week, which has been the trend recently. The industry continues to monitor the availability of market-ready hogs and hog weights.  Overall, demand for US pork on the global market has been strong and domestic demand continues to improve.  All have been supportive to prices. Look for business and packer activity to pick up as the week progresses. Barrows and gilts at the National Daily Direct closed $.75 lower with a base range of $86 to $91 and a weighted average of $89.63 and there was no comparison at the Western Corn Belt but a weighted average of $89.93.  Prices at the Iowa/Minnesota and Eastern Corn Belt were not reported due to confidentiality. 

Butcher hog prices at the Midwest cash markets are $2 lower at $50. At Illinois, slaughter sow prices were steady with moderate demand for moderate to heavy offerings at $42 to $54.  Barrows and gilts were steady with moderate demand for moderate offerings at $51 to $61.  Boars ranged from $18 to $28 and $8 to $15. 

Pork values closed higher – up $1.37 at $99.00. Bellies, hams, and loins were all higher.  Butts, picnics, and ribs were lower. Estimated hog slaughter was 482,000 head – even on the week and up about 32,000 on the year.