Market News

Midday cash livestock markets

It is typically quiet in cattle country on Tuesday and the trade is still waiting for the first bids of the week to develop. Asking prices are around 132.00 to 134.00 in the South, and 205.00 plus in the North. Significant trade volume could be delayed until the second half of the week.

The boxed beef cutout values are sharply higher in the morning report. Choice beef is up 3.00 at 210.57, and select is 5.01 higher at 199.95.

Feeder cattle receipts at South Dakota auctions last week totaled 12,420 head. Compared to the previous week, feeder steers were 2.00 to 4.00 higher, with instances of 6.00 to 7.00 higher on those cattle weighing 700 to 800 pounds. Feeder heifers were 2.00 to 4.00 higher except those over 900 pounds 3.00 to 4.00 lower. There was moderate to good demand for all weights of feeders. Feeder steers medium and large 1 averaging 677 pounds traded at 162.12 per hundredweight. 736 pound replacement heifers averaged 162.01.

Barrows and gilts in the Iowa/Minnesota direct trade are .71 higher at 73.60 weighted average on a carcass basis, the West is up .39 at 73.18, and the national market is .09 lower at 71.19. Missouri direct base carcass meat price is steady from 59.00 to 65.00. Midwest hogs on a live basis are steady to 1.00 higher from 44.00 to 55.00.

The pork carcass value is .50 higher at 83.10 FOB plant.

If the cattle rally continues to gather steam, the hog/cattle spreading will prove to be a less reliable vehicle for supporting lean premiums.

Although last week’s hog slaughter was larger than most expected, the “extra” live inventory still commanded higher packer bids. Last week’s dressed market moved nearly $4 higher for the second consecutive week speaks very well of seasonal pork demand.