Market News

Cattle futures pressured at midweek

At the Chicago Mercantile Exchange, live and feeder cattle were lower on profit-taking ahead of the week’s direct business.  There is also concern that China has blocked beef imports from the JBS processing facility in Greely, Colorado.  June live cattle closed $1.20 lower at $183.35 and August lives closed $1.62 lower at $180.20.  August feeder cattle closed $4.35 lower at $260.25 and September feeders closed $3.90 lower at $261.80. 

Direct cash cattle trade has been slow to develop this week. Bids didn’t surface.  Asking prices in the South were around $189 to $191 live, the North was quiet. If business follows the trend of recent weeks, it’s more than likely significant trade volume will hold out until sometime Thursday or Friday.

At the Hub City Livestock Auction in South Dakota, steers were not well compared.  The best test was on heifers 850 to 899 pounds and those were steady to $4 lower with other weight classes not well compared.  The UDSA says demand was good to very good for the day’s offering featuring a couple of strings and quite a few loads and packages.  There were more backgrounded or grass-type cattle offered this week.  Flesh varied, mostly moderate to heavy.  Quality also varied from plain to attractive.  The market was active.  Receipts were down on the week and up on the year.  Feeder supply included 49% steers and 98% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 750 to 766 pounds brought $288 to $290.25 and feeder steers 962 to 998 pounds brought $229 to $245.  Medium and Large 1 feeder heifers 668 to 687 pounds brought $264 to $280.50 and feeder heifers 752 to 796 pounds brought $239 to $261. 

Boxed beef closed mixed with light to moderate demand for moderate offerings.  Choice was $1.50 higher at $313.62 and Select closed $.95 lower at $302.48.  The Choice/Select spread is $11.14.  Estimated cattle slaughter was 125,000 head – up 3,000 on the week and down about 1,500 on the year. 

Lean hog futures ended the day lower, pressured by lower pork values.  June lean hogs closed $.02 lower at $93.77 and July lean hogs closed $.20 lower at $96.32. 

Cash hogs closed higher with a solid negotiated run.  Processors were a bit more aggressive in their procurement efforts Wednesday and bid up to move needed numbers. Hog weights were up slightly on the week to 288 pounds, but that’s 6.2 pounds above year-ago levels. Demand for US pork remains a bright spot both on the global market and domestically.  That is providing key price support.  And the industry is keeping a close eye on the availability of market-ready hogs. Barrows and gilts at the National Daily Direct closed $1.22 higher with a base range of $84 to $90 and a weighted average of $89.05; the Iowa/Minnesota closed $1.13 higher with a weighted average of $89.58; the Western Corn Belt closed $2.22 higher with a weighted average of $89.48.  Prices at the Eastern Corn Belt were not reported due to confidentiality. 

Butcher hog prices at the Midwest cash markets are at $55, that’s $5 higher than the most recent reported test. At Illinois, slaughter sow prices were steady with moderate demand for moderate offerings at $36 to $48.  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 lower – down $1.66 at $101.74. Bellies, loins, and ribs were sharply lower.  Hams were weak.  Butts and picnics were about steady to higher. Estimated hog slaughter was 488,000 head – up 4,000 on the week and up about 10,000 on the year. 

Add Comment

Your email address will not be published.


 

Stay Up to Date

Subscribe for our newsletter today and receive relevant news straight to your inbox!