Market News

Internet cattle trade lower

The Fed cattle Exchange reported internet auction business on Wednesday morning ranging between 102.75 and 104.25. Generally speaking this would be about $1.00 to 2.00 lower than last week. About 10,947 head were sold. Leaving 1,092 head left unsold. Asking prices in the country are around 107.00 in the South where bids are 101.00, and 165.00 plus in the North with bids there at 159.00. The Wednesday cattle slaughter was estimated at 115,000 head even with last week, and 13,000 greater than last year.

Boxed beef cutout values closed lower on light to moderate demand and moderate offerings. Choice beef 184.55, down .42, select 175.45, down 1.49.

Live cattle contracts on the Chicago Mercantile Exchange settled .25 lower to .87 higher. Gains developed through the live cattle complex as traders quickly looked past election results and moved back into the cattle complex, focusing on firming buyer support and potential additional gains through the middle of the week. But light trade limited the movement, allowing prices to remain limited in a narrow mixed price range.

Feeder cattle finished the session mostly .15 to .60 higher in light trade as traders remained focused on the lack of widespread movement in outside markets following the election. The trade volume was light.

Ozarks Regional Stockyards at West Plains, Missouri had feeder cattle receipts of 3018 head on Tuesday. Compared to last week, steer calves under 500 pounds were steady to 5.00 higher with heavier weights unevenly steady. Yearling steers traded 4.00 to 8.00 higher. Heifer calves under 500 pounds were 3.00 to 7.00 higher with heavier calves’ steady to 2.00 higher. Yearling heifers were not well tested. The demand was good on a moderate supply. Feeder steers medium and large 1 averaging 573 pounds brought 128.35 per hundredweight. 527 pound heifer’s at 115.93.

Lean hog futures settled .02 to .52 lower. Early support held the futures mixed through the first couple hours of trade, but markets eased following cash market pressure and potential concerns that long term softness may develop through supply issues if trade deals are tampered with and export trade is limited. This could continue to erode support in summer 2017 contract months which has been driving the renewed hog support over the last three weeks.

Barrows and gilts in the Iowa/Minnesota direct trade down .57 at 41.38 weighted average on a carcass basis, the west 41.36, down .65, and nationally the hog market was .59 lower at 41.41. Missouri direct base carcass meat price steady to 1.00 lower from 36.00 to 38.00. Midwest hogs on a live basis closed steady from 22.00 to 30.00.

The pork carcass cutout value was down .42 at 73.82 FOB plant.

The Wednesday hog slaughter was estimated at 443,000 head, 3,000 greater than last week, and 51,000 more than last year.