Market News

Midday cash livestock markets

Direct cattle markets are quiet but starting to show some signs of life. A handful of bids are reported at $375 on the dressed basis in Iowa and one major in eastern Nebraska is reportedly willing to do business at $378 dressed. Packer inquiry should get better as the day moves on, but widespread trade might still wait until Friday. The USDA says beef export sales of 19,700 tons were higher than the week before, but lower than average, mainly to South Korea and Japan.

At the Hub City Livestock Auction feeder cattle sale in South Dakota, compared to the previous week, steers weighing 600 to 699 pounds were up $10 to $15 and 700-to-899-pound steers were mostly steady. Heifers weighing 500 to 549 pounds and 600 to 649 pounds were $10 to $16 higher, while 650-to-699-pound heifers were mostly steady and 700-to-749-pound heifers were up $3 to $6. The USDA says the market was active and demand was very good for cattle suitable for backgrounding or grass, and good to very good for finishing type cattle, depending on flesh condition. Flesh was moderate to heavy, with some fill. One consignment of backgrounded cattle was on offer, with the rest of the run long-time weaned, vaccinated, and home raised. Receipts were up on the week, but down a little bit on the year. 69% of the offering were steers and 87% of the total run weighed more than 600 pounds. Medium and Large 1 feeder steers weighing 700 to 800 pounds ranged from $386 to $416.50 and 850-to-950-pound steers sold at $355 to $373.50. Medium and Large 1 feeder heifers weighing 600 to 700 pounds were reported at $375 to $442 and 700-to-800-pound heifers sold at $366.50 to $387.

Boxed beef at midday is lower with light movement. Choice is down $.82 at $367.20 and Select beef is $1.08 lower at $361.01.

Cash hogs are steady to higher with very light opening negotiated sales at the major direct markets. It looks like many buyers have the needed near-term numbers in hand after the light to moderate movement earlier in the week. That big drop in wholesale pork Wednesday might have been a one-day event, but the volatility in the belly primal will likely be watched very closely. Pork export sales of 35,100 tons were down sharply on the week and below average, with Mexico, China, and Canada leading the way.

The major direct markets were not reported due to confidentiality. The five-day rolling average for national direct barrows and gilts is $85.72, with Iowa/Southern Minnesota at $86.33 and the Western Corn Belt at $86.29. Butcher hogs at Dorchester, Wisconsin are steady at $60. Illinois direct sows are $2 higher at $45 to $57 with moderate demand for moderate offerings. Barrows and gilts are up $2 at $45 to $55 on moderate demand and offerings. Boars range from $5 to $15.

The pork carcass cutout value at midday is up $1.31 at $94.31. Loins, butts, picnics, hams, and bellies are firm to sharply higher, while ribs are sharply lower.