Market News

Live cattle mostly higher to start the week

At the Chicago Mercantile Exchange, live cattle were mostly higher, and feeders were higher with concerns about tight available supplies.  October live cattle closed $.17 lower at $235.80 and December live cattle closed $.12 higher at $237.57.  October feeder cattle closed $1.27 higher at $359.17 and November feeder cattle closed $1.97 higher at $358.12. 

It was a quiet Monday for direct cash cattle trade activity.  Showlists this week are mixed, higher in Kansas, but lower in Texas, and Nebraska/Colorado.  Bids and asking prices didn’t surface Monday.  Significant trade volume isn’t expected until midweek or later.

At the Oklahoma National Stockyards, feeder steers were steady to $3 lower.  Feeder heifers were mostly steady.  Steer calves were steady, while heifer calves were $2 to $6 lower.  The USDA says demand was moderate to good.  Demand for fall calves has been strong, and the offering consisted of calves weaned at all different stages.  Quality was mostly average.  Receipts were up from the most recent sale, but down on the year.  Feeder supply included 51 percent steers and 53 percent of the offering weighed more than 600 pounds.  Medium and Large 1 feeders steers 663 to 699 pounds brought $392 to $414 and feeder steers 755 to 794 pounds brought $360 to $374.  Medium and Large 1 feeder heifers 573 to 599 pounds brought $345 to $385 and feeder heifers 704 to 732 pounds brought $321 to $358. 

Boxed beef closed mixed with light to moderate demand for moderate offerings.  Choice was $1.07 lower at $409.69 and Select was $.15 higher at $385.34.  The Choice/Select spread is $24.35. Estimated cattle slaughter was 106,000 head, down more than 8,000 from last year.

Lean hog futures closed mixed, mostly higher with support from higher pork values during the session.  There are lingering concerns about demand. October lean hogs closed $.87 lower at $95.15 and December lean hogs closed $.17 lower at $88.15. 

Cash hogs closed sharply higher with a fairly light negotiated run.  Processors were much more aggressive in their procurement efforts Monday afternoon and bid up to move needed numbers.  Demand for U.S. pork on the global market has been relatively strong.  While China hasn’t been consistent in its pork purchases, Mexico and other countries have been solid customers.  Pork remains a competitively priced protein in the retail space, which does benefit domestic demand. Barrows and gilts at the National Daily Direct were $2.58 higher with a base range of $96 to $108 and a weighted average of $103.83; the Iowa/Minnesota closed $3.29 higher with a weighted average of $104.36; the Western Corn Belt closed $2.11 higher with a weighted average of $104.21.  Prices at the Eastern Corn Belt were not reported due to confidentiality.   

Butcher hog prices at the Midwest cash markets are steady at $80. At Illinois, slaughter sow prices were steady with moderate demand for moderate offerings at $73 to $85.  Barrows and gilts were steady with moderate demand for moderate offerings at $63 to $73.  Boars ranged from $25 to $35 and $18 to $25. 

Pork values closed higher, up $.51 at $116.38.  Picnics were sharply higher.  Bellies, butts, hams, and ribs were higher, while loins were lower. Estimated hog slaughter was 488,000 head, up about 3,000 from last year.