Market News

Live cattle, hogs mixed heading into Friday

At the Chicago Mercantile Exchange, live cattle futures were mixed, waiting to see how much direct business there was left to be done.  Feeders were down on technical selling. December live was $.12 lower at $186.30 and February was down $.27 at $186.77. November feeders were down $.12 at $245.37 and January was $.65 lower at $241.32.

Direct cash cattle trade activity was pretty quiet on Thursday following the light to moderate trade that took place on Wednesday.  Bids were renewed at $190 live.  For the week, live deals in the South were marked at mostly $190, generally steady with the previous week’s weighted averages.  Dressed deals in the North ranged from $296 to $298, steady to $3 lower than the previous week’s weighted averages.   Asking prices for what’s left on the show list were $193 live and $299+ dressed, with a few bids at $190 live

At the Basset Livestock Auction in Nebraska, compared to two weeks ago, steers 550 to 1050 pounds were $4 to $15 higher.  There were limited offerings of comparable heifers, but 450 to 500 pounds heifers were steady to $10 higher.  The USDA says demand was very good for yearling offerings, weaned and non-weaned spring calves.  Receipts were up significantly from two weeks ago and on the year.  Feeder supply included 83% steers and 67% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 605 to 635 pounds brought $299 to $318.50 and feeder steers 950 to 994 pounds brought $247 to $261.  Medium and Large 1 feeder heifers 454 to 496 pounds brought $299 to $315 and feeder heifers 507 to 548 pounds brought $271 to $301.50. 

Boxed beef closed lower with light demand for moderate offerings.  Choice was $1.84 lower at $317.60 and Select was $3.95 lower at $285.37.  The Choice/Select spread was $32.23. Estimated cattle slaughter was 121,000 head, down 3,000 on the week and down more than 5,000 on the year.

Lean hog futures ended the day mixed, unwinding previously established spreads. December was down $.57 at $83.80 and February was $.50 lower at $85.20, with deferred months firm to modestly higher.

Cash hogs closed sharply lower with a light negotiated run.   It’s been an active week for cash hog business, but processors likely have needed numbers on hand and have pulled back in their procurement efforts.  Demand for U.S. pork has been strong, including another solid week of export sales.  That remains a bright spot for the market.  There are still lingering concerns about domestic demand as it’s been inconsistent.  Supplies of market-ready hogs appear to be ample, and the industry continues to monitor hog weights. Barrows and gilts at the National Daily Direct closed $2.10 lower with a base range of $76 to $84.50 and a weighted average of $82.70; the Iowa/Minnesota closed $3.06 lower with a weighted average of $82.66; the Western Corn Belt closed $3.11 lower with a weighted average of $82.70.  Prices at the Eastern Corn Belt were not reported due to confidentiality. 

Butcher hog prices at the Midwest cash markets were closed on Thursday.  At Illinois, slaughter sow prices were steady with moderate demand for moderate offerings at $56 to $68.  Barrows and gilts were steady with moderate demand for moderate offerings at $45 to $55.  Boars ranged from $20 to $30 and $15 to $25. 

Pork values closed higher – up $1.54 at $103.15.  The primals were higher to sharply higher across the board. Estimated hog slaughter was 486,000 head – down 1,000 on the week and nearly steady on the year.