Market News

Cattle trade late on Friday

A few cattle traded by midafternoon on Friday in Texas and Kansas steady to 1.00 higher than last week from 109.00 to 111.00. The Midwest direct markets were 1.00 to 3.00 higher on a live basis from 109.00 to 111.00, dressed trade was steady at 170.00. It is tough to assess packer appetite given the holiday shortened slaughter schedule over the next several weeks. The weekly cattle slaughter is estimated at 599,000 head, 12,000 less than the previous week, but 13,000 more than 2015.

Boxed beef cutout values were higher to sharply higher on light to moderate demand and light offerings. Choice beef was up 1.17 at 194.63, and select 181.09, up 2.55.

Chicago Mercantile Exchange live cattle contracts settled .20 to 2.07 higher with the December through June contracts leading the deferred contracts with triple digit gains. Significantly higher boxed beef values at midday were supportive to cattle futures. The lack of packer spending in the country was somewhat negative to the trade.

Feeder cattle futures attracted decent late week support closing .10 to 2.29 higher. The bulls were carefully watching the live trade for inspiration.

Feeder cattle receipts at Missouri Auctions this week totaled 38,316 head. Compared to last week, steers and heifers sold steady to 5.00 higher. The trade was active and demand was good. A very attractive offering around the circuit, if still not plenty fleshy, but with bitterly cold temperatures expected over the weekend, extra flesh is not much of a concern this time of the year. Feeder steers medium and large 1 averaging 621 pounds averaged 137.19 per hundredweight. 624 pound heifers brought 123.73.

Lean hogs settled .35 to 2.30 higher. Futures were well supported with spot February attracting the most buying interest thanks to bull spreading and ideas of tightening ready hog supplies as the market moves into winter.

Barrows and gilts in the Iowa/Minnesota direct trade closed .40 lower at 53.46 weighted average on a carcass basis, the west was up .10 at 53.39, and nationally the market closed .13 higher at 52.95. Missouri direct base carcass meat price closed steady from 45.00 to 47.00. Midwest hogs on a live basis were steady to 2.00 lower from 25.00 to 38.00.

The pork carcass cutout value was down .12 at 77.85 FOB plant.

Feeder pig receipts nationally this week totaled 91,306 head. Early weaned pigs were 5.00 a head higher. All feeder pigs were steady to firm on light receipts. The demand was good for light to moderate offerings. Early weaned pigs 10 to 12 pound basis ranged from 42.00 to 52.00 per head. 40 pound pigs 39.00 to 57.00 per head.

The weekly hog slaughter was estimated by USDA at 2,544,000 head, 101,000 more than last week, and 45,000 greater than last year.