Market News

Live cattle higher to start the week

At the Chicago Mercantile Exchange, live cattle were higher, and feeders were mixed ahead of the week’s direct business and Friday’s On Feed report from the USDA. June live cattle closed $.75 higher at $212.97 and August live cattle closed $1.17 higher at $207.92.  August feeder cattle closed $.12 lower at $297.47 and September feeder cattle closed $.05 higher at $296.32. 

Direct cash cattle trade had a typically quiet start to the week.  Bids and asking prices didn’t surface.  Showlists are mixed – about steady in Nebraska/Colorado, but lower in Kansas and Texas.  Look for significant trade volume to take place sometime Thursday or Friday.

At mid-session, at the Oklahoma National Stockyards, all classes of cattle are $5 to $10 lower.  The USDA says demand was moderate.  Quality ranged from plain to average.  Calves were moderately fleshed.  Receipts were up on the week and the year.  Feeder supply included 44 percent steers and 67 percent of the offering was more than 600 pounds.  Medium and Large 1 feeder steers 710 to 744 pounds brought $304 to $330 and feeder steers 900 to 942 pounds brought $270.50 to $280.25.  Medium and Large 1 feeder heifers 665 to 698 pounds brought $289.50 to $308 and feeder heifers 857 to 894 pounds brought $256.75 to $260.

Boxed beef closed higher with solid demand for light offerings.  Choice was $2.32 higher at $354.81 and Select closed $1.72 higher at $344.11.  The Choice/Select spread is $10.70.  Estimated cattle slaughter was 115,000 head – up 16,000 on the week and down more than 3,000 on the year. 

Lean hog futures closed mixed on spread adjustments. June lean hogs closed $1.07 lower at $99.25 and July lean hogs closed $.60 lower at $103.57. 

Cash hogs closed sharply higher with a fairly light negotiated run. Processors had to get aggressive in their procurement efforts and bid up to move numbers.  Demand continues to play a big role in the market.  Overall, global demand for U.S. pork remains strong, and that’s good news.  With the pause in the trade rift with China, the industry is hoping to see a rebound in China’s pork purchasing habits.  Domestic demand could also see a boost with summer grilling season just around the corner.   Barrows and gilts at the National Daily Direct closed $4.41 higher with a base range of $87 to $96.50 and a weighted average of $92.51.  Prices at the Regional Direct Markets were not reported due to confidentiality. 

Butcher hog prices at the Midwest cash markets were steady at $66.   

Pork values closed higher – up $.97 at $101.09.  Ribs, butts, loins, and picnics were all sharply higher.  Bellies and hams were sharply lower. Estimated hog slaughter was 480,000 head – up 14,000 on the week and up about 1,000 on the year.