Market News

Cattle, hog futures higher heading into Friday

At the Chicago Mercantile Exchange, live and feeder cattle were higher on oversold signals.  Feeders found additional support from the lower move in corn.  October live cattle closed $1.27 higher at $175.90 and December lives cattle closed $1.25 higher at $175.52.  September feeder cattle closed $2.52 higher at $238.20 and October feeders closed $2.57 higher at $234.25. 

Another light round of direct cash cattle business developed Thursday.  Live deals were at $183 in Kansas and $184 in Nebraska.  There’s been scattered trade throughout the week and more is expected before the end of the day Friday. So far this week, Southern live deals have been marked at $183, $2 lower than the previous week’s weighted averages.  Northern dressed business has had a wide range of $290 to $295, mostly $293, $5 below the prior week’s weighted averages. 

At the Huss Livestock Market in Nebraska, steers 900 to 950 pounds were $6 lower.  Heifers 1000 to 1050 pounds were $3 lower.  The USDA says demand was moderate to good.  Buyers were active.  Receipts were up from two weeks ago and on the year.  Feeder supply included 64% steers and 95% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 906 to 942 pounds brought $232 to $237 and feeder steers 1020 to 1036 pounds brought $225 to $227.75.  Medium and Large 1 feeder heifers 816 to 822 pounds brought $230.50 to $239 and feeder heifers 1055 to 1057 pounds brought $198 to $200.35. 

Boxed beef closed higher with good demand for moderate offerings.  Choice was $.78 higher $315.99 and Select closed $.95 higher at $302.03.  The Choice/Select spread is $13.96. Estimated cattle slaughter was 121,000 head – up 1,000 on the week and down about 3,500 on the year.

Lean hog futures ended the day higher, supported by cash and wholesale business.  October lean hogs closed $3.47 higher at $79.62 and December lean hogs closed $2.40 higher at $70.27. 

Cash hogs closed higher with fairly light negotiated purchases.  Processors started the day more aggressive in their procurement efforts, but slowed down in the afternoon.  Export sales for U.S. pork hit a marketing year low this past week, but demand overall on the global market has been strong and that’s been helping to limit some losses.  The industry continues to monitor the availability of market-ready hogs and hog weights. Barrows and gilts at the National Daily Direct closed $1.30 higher with a base range of $81 to $84.50 and a weighted average of $83.36.  Prices at the Regional Direct Markets were not reported due to confidentiality. 

Butcher hogs at the Midwest cash markets were steady at $66. At Illinois, slaughter sow prices were steady with moderate demand for moderate offerings at $53 to $65.  Barrows and gilts were $1 lower with moderate demand for moderate offerings at $47 to $57.  Boars ranged from $18 to $28 and $8 to $15.

Pork closed higher, up $1.88 at $96.43.  Bellies, hams, butts, ribs, and loins were all higher.  Picnics were lower. Estimated hog slaughter was 482,000 head – up 3,000 on the week and up more than 15,000 on the year.