Market News

Midday cash livestock markets

Direct cash cattle markets are quiet. Early asking prices are $117+ live and $185+ dressed, while bids remain poorly defined. Trading interest is expected to increase as the day goes on, but widespread business could still wait until Thursday or Friday. Packer margins have improved over the last couple of weeks as prices have risen, with most expecting another round of higher trade this week. This week’s offering at the Fed Cattle Exchange was 547 head, 0 sold.

Boxed beef at midday was higher with moderate movement. Choice was up $.68 at $236.73 and Select was $1.52 higher at $211.34.

At the Kingsville Livestock Auction feeder cattle sale in Missouri, compared to the previous week, steers and heifers were steady to $5 higher, expect for 800 to 950-pound steers, which were $5 to $7 higher than the last comparable test. The USDA says trade was active, the supply was moderate, demand was good to very good, and the offering was attractive. 57% of the feeder cattle supply weighed more than 600 pounds. Medium and Large 1 feeder steers weighing 500 to 600 pounds sold at $148 to $160.25 and 800 to 850-pound steers ranged from $146.50 to $159.35. Medium and Large 1 feeder heifers weighing 500 to 600 pounds brought $135 to $156 and 600 to 700-pound heifers were reported at $138.50 to $149.75.

Cash hogs are steady to lower with a large opening negotiated run for the major direct markets. Buyers are continuing their efforts to use the market ready numbers as leverage, watching their margins and demand signals. The USDA’s weekly export sales report is out Thursday, with the trade waiting to see how much U.S. pork China bought last week, and new supply and demand estimates are out Friday. Canada has announced it will resume meat exports to China and while it’s not the U.S., it could be a positive sign for trade in general. According to reports, China’s COFCO will buy $100 million in pork from a Danish producer by 2020. Last week’s average Iowa/Southern Minnesota barrow and gilt weight was 286.7 pounds, up three tenths of a pound on the week and 3.2 pounds on the year.

Pork at midday was down $1.08 at $78.42. Hams dropped $7.65, ribs were $3.47 lower, butts lost $1.12, and bellies were weak. Picnics gained $4.68 and loins were $1.01 higher.

National direct barrows and gilts opened $.66 lower at $42 to $47.34 with a weighted average of $45.29, while Iowa/Southern Minnesota and the Western Corn Belt are both down $1.92 at $43.70. Butcher hogs at the Midwest cash markets are steady at $36. Illinois direct sows are weak at $30 to $44 on moderate demand and offerings. Barrows and gilts are steady at $27 to $33 with light demand for moderate offerings. Boars range from $5 to $20.