Cattle, hog futures ended the week lower
At the Chicago Mercantile Exchange, live cattle ended the day lower on follow-through selling and feeders were pressured by the day’s lower move in corn. December live cattle closed $2.05 lower at $109.92 and February live cattle closed $2.57 lower at $112.22. November feeder cattle closed $2.60 lower at $137.47 and January feeder cattle closed $2.85 lower at $137.47.
A light direct cash cattle trade took place in the South on Friday. Live deals were at mostly $110, $3 higher than the previous week’s weighted averages. There was a little cleanup business reported in the North, fully steady with Thursday business of $172 dressed which is $7 higher than the prior week’s weighted average basis in Nebraska.
In Missouri this past week, feeder steers and heifers were steady to $5 higher with some instances of $5 to $8 higher. The supply was heavy as the fall feeder run is underway. Buyers are still looking for cattle that are weaned and with shots. Receipts were up on the week and the year. Feeder supply included 53 percent steers and 49 percent of the offering was over 600 pounds. Medium and Large 1 feeder steers 600 to 649 pounds brought $120 to $163 and feeder steers 700 to 748 pounds brought $126 to $154.75. Medium and Large 1 feeder heifers 600 to 649 pounds brought $115 to $148.25 and feeder heifers 650 to 699 pounds brought $118 to $146.
At the South Dakota Hay market, compared to last week alfalfa and grass hay was steady. There was moderate to good demand for alfalfa, but the best demand remains on hay suitable for dairy rations. There was good demand for grass hay as feedyards are receiving unweaned calves and need grass hay for a transition. Alfalfa, supreme, large squares brought $200. Alfalfa good large rounds brought $140 to $150, large squares brought $175 to $180. Grass, good large rounds brought $110.
Boxed beef closed mixed on light to moderate demand for moderate to heavy offerings. Choice closed $.52 lower at $225.98 and Select is $1.22 higher at $209.46. Estimated cattle slaughter is 118,000 head – up 9,000 on the week and down 1,000 on the year. Saturday’s estimated kill is 63,000 head – up 4,000 on the week and down 10,000 on the year.
Lean hog futures were pressured by the lower pork values during the session and long-term supply and demand concerns. December lean hogs closed $.90 lower at $64.90 and February lean hogs closed $2.15 lower at $64.57.
Cash hogs closed mixed with a fairly light negotiated run. The trade is optimistic demand for US pork will continue to grow and that is supportive to prices. The heavy supplies are still concerning as the availability of market-ready hogs isn’t declining and processors continue to push daily slaughter totals higher. While keeping the supply chains moving, it is also adding more pork to an already saturated market. Barrows and gilts at the National Daily Direct are $.33 lower with a base range of $53 to $62.33 with a weighted average of $59.59; the Iowa/Minnesota closed $.52 higher with a weighted average of $59.23; the Western Corn Belt closed $.38 higher with a weighted average of $59.11. The Eastern Corn Belt was not reported due to confidentiality.
Accord to the USDA’s Feeder Pig Report, early weaned pigs were steady to $1 per head higher. All feeder pigs were steady to $2 per head lower. Demand was moderate for moderate offerings and receipts included 23 percent formulated prices. For early-weaned pigs, the total composite cash range was $32.50 to $44.50 with an average of $37.56, the formula range was $32.90 to $45.97 with an average of $39.24. The weighted average for all early-weaned pigs was $38.01 and the weighted average for all feeder pigs was $48.24.
Butcher hog prices at the Midwest cash markets are steady at $46. At Illinois, slaughter sow prices were $1 higher with good demand for moderate offerings at $29 to $43. Barrow and gilt prices were steady with good demand for moderate offerings at $39 to $42. Boars ranged form $5 to $8.
Pork values closed lower – down $2.94 at $80.14. Bellies and hams were sharply lower. Ribs, loins, and butts were lower. Picnics closed higher. Estimated hog slaughter is 477,000 head – down 11,000 on the week and up 8,000 on the year. Saturday’s estimated kill is 288,000 head – up 28,000 on the week and down 67,000 on the year.