Lean hog futures end up and down day higher

Market News

Lean hog futures end up and down day higher

At the Chicago Mercantile Exchange, live and feeder cattle futures were lower, with feeders leading the way down on the higher move in corn and other feed ingredients. December live cattle was down $1.00 at $112.05 and February was $1.20 lower at $114.57. January feeder cattle were $1.37 lower at $139.62 and March was down $1.37 at $141.22.

Direct cash cattle trade has been slow to start off the week. Asking prices came in at $112 to $113 in the south and $180 plus in the north.

Boxed beef cutout values closed mixed. Choice closed $2.48 higher at $210.30 while select closed $1.17 lower at 195.48. The choice/select spread is $11.17.

At the Sioux Falls Regional Cattle Auction in Worthing, South Dakota, yearling heifers were mostly $3.00 higher than the previous week while steer volumes were too low for a comparison. The USDA says demand was good with an overall active market. Supply included 56 percent steers and 96 percent of the offering was over 600 pounds. Medium and Large 1 steers weighing 872 to 889 pounds brought $136 to $139 dollars for an average of $137.88; steers weighing 956 to 998 pounds brought $130.50 to $138.75 for an average of $137.60. Medium and large 1 heifers weighing 757 to 798 pounds brought $128 to $137.10 for an average of $135.52; heifers weighing 804 to 810 brought $135 to $137.60 for an average of $135.27.

Estimated cattle slaughter is 116,000 head, down 3,000 on the week and 15,000 on the year.

Lean hog futures ended an up and down session modestly higher, supported by oversold signals and the higher midday pork. February was up $.70 at $67.20 and April was $.32 higher at $71.07.

Cash hogs closed higher. The availability of market ready hogs continues to be ample. Larger than normal processing numbers during the holiday shortened weeks have still been able to cut into the backlog of ready hogs. But higher than normal volumes of meat production are adding downward pressure on the meat market. Barrows and gilts at the National Daily Direct ended the day up 24 cents with a range of $44 to $51.50 for a weighted average of $50.06. Barrows and gilts at the Iowa/Southern Minnesota closed 58 cents higher for a weighted average of $50.52. Hogs at the Western Cornbelt finished 12 cents higher for a weighted average of $50.55. Prices at the Eastern Cornbelt were not reported due to confidentiality.

Pork values closed higher, up 51 cents at $72.36. Bellies closed sharply higher. Ribs closed higher. Loins, butts, picnics and hams closed lower to sharply lower.

Estimated hog slaughter is 465,000 head, down 8,000 on the week but up 57,000 on the year.