Market News

Light direct cattle trade develops at lower prices

At the Chicago Mercantile Exchange, live cattle were sharply lower with weaker demand and external market pressure from the economy. October Live Cattle closed $3.42 lower at $175.60. September Feeder Cattle were down $4.77 at $234.50.

In the direct cash cattle trade, a large string in Nebraska sold at mostly $295 dressed, $3 lower than last week’s weighted average. Live sales in the south ranged from $183 to $185, down $1 to $2 on the week. Asking prices are yet to be fully established, but in the South, they are about $186 to $187. There are still only a few bids on the table at this time. Significant trade volume could be delayed until Wednesday or later in the week.

At the OKC West feeder cattle auction in El Reno, Oklahoma, compared to the previous week, steer and heifer calves were steady to weak on limited comparable sales. The USDA says demand was moderate to good, with receipts down sharply on the week and the year. 55% of the offering were steers and 66% of all feeders weighed less than 600 pounds. Medium and Large 1 feeder steers weighing 500 to 520 pounds brought $300 to $312.50 and 600-to-620-pound steers sold at $265 to $287.50. Medium and Large 1 feeder heifers weighing 500 to 540 pounds were reported at $269 to $287 and 600 to 610 pound heifers ranged from $243 to $251.

Boxed beef closed lower. Choice boxes down $.47 at $315.08 and Selects were down $.97 at $301.04 on moderate to heavy movement. Estimated cattle slaughter of 124,000 head was 2,000 more than last week and about the same as a year ago.

Lean hogs traded lower, but not as steeply as cattle, pressured by continued questions about sustained domestic demand. October Lean Hogs closed $.40 lower at $76.40.

National Direct barrows and gilts closed $.54 higher with a base price range of $80 to $85 with a weighted average of $83.26 with solid negotiated movement. The major regional markets had no recent comparison. Iowa/Southern Minnesota had a weighted average of $82.86, with the Western Corn Belt at $83.33 and the Eastern Corn Belt at $81.98.

Midwest butcher markets were steady at $69. Illinois direct sows were steady at $51 to $63 on moderate demand for moderate to heavy offerings. Barrows and gilts were steady at $48 to $58 with moderate demand for moderate offerings. Boars ranged from $8 to $28.

Pork values closed $.45 higher at $97.54. Loins, butts, ribs, hams, and bellies were firm to higher, canceling out a drop in picnics. Estimated hog slaughter Tuesday was 482,000, the same as last week, 7,000 more than a year ago.