Market News

Live cattle mixed ahead of direct business

At the Chicago Mercantile Exchange, live cattle were mixed waiting on direct business, feeders were mostly higher on the lower move in corn. October live cattle closed $.60 lower at $176.32 and December live cattle closed $.37 lower at $176.42.  October feeder cattle closed $.67 higher at $235.40 and November closed $.45 higher at $232.27. 

Direct cash cattle trade activity was unsurprisingly quiet Tuesday.  Bids didn’t surface.  Asking prices were floated in the South at $182 live, but weren’t established in the North.  Significant trade volume will likely hold out until sometime Thursday or Friday. 

At the Callaway Livestock Center in Missouri, steer calves under 550 pounds were not well tested, there was a much lighter offering of steer calves and yearlings weighing from 550 to 800 pounds, all sold with a weak to lower undertone.  Six potloads of 850 to 983 pounds steers sold with a lower undertone.  Feeder heifers 550 to 600 pounds sold with spots of $5 higher, while heifers 600 to 650 pounds sold $6 to $8 lower.  All other weights of heifers were lightly tested. The USDA says demand was moderate to good on a moderate supply.  Feeder supply included 64% steers and 67% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 551 to 598 pounds brought $285 to $301 and feeder steers 856 to 889 pounds brought $232.75 to $236.50.  Medium and Large 1 feeder heifers 568 to 597 pounds brought $256.50 to $268.50 and feeder heifers 607 to 644 pounds brought $261 to $271.50. 

Boxed beef closed lower on modest demand for solid offerings.  Choice was $.29 lower at $308.23 and Select closed $1.48 lower at $297.01.  The Choice/Select spread is $11.22. Estimated cattle slaughter was 124,000 head – down 1,000 on the week and about 2,000 on the year. 

Lean hog futures ended the day mixed on spread trade and the weak midday move in pork. October lean hogs closed $.25 lower at $78.55 and December lean hogs closed $.05 higher at $71.15. 

Cash hogs closed modestly lower with a huge negotiated run.  Processors were able to move significant numbers Tuesday without having to bid up.  Global demand for U.S. pork continues to be a bright spot and that’s helping provide some price support.  Concerns about domestic demand linger and are providing uncertainty.  The industry is also monitoring the availability of market-ready hogs and hog weights. Barrows and gilts at the National Daily Direct closed $.15 lower with a base range of $67 to $80 and a weighted average of $78.34; the Iowa/Minnesota closed $.09 lower with a weighted average of $78.50; the Western Corn Belt closed $.01 lower with a weighted average of $78.53; the Eastern Corn Belt closed $.85 lower with a weighted average of $76.71. 

Butcher hog prices at the Midwest cash markets are steady at $60. At Illinois, slaughter sow prices were $2 higher with moderate demand for moderate offerings at $53 to $65.  Barrows and gilts were steady with moderate demand for moderate offerings at $45 to $55.  Boars ranged from $18 to $28 and $8 to $15. 

Pork values closed lower – down $.92 at $94.80.  Hams, picnics, and bellies were all lower.  Butts, loins, and ribs were all higher. Estimated hog slaughter was 484,000 head – even on the week and up about 2,500 on the year.