Market News
Live cattle mostly higher ahead of direct business
At the Chicago Mercantile Exchange, live cattle were mostly higher ahead of widespread direct cash business. Feeders were higher on the day’s lower move in corn. February live cattle closed $.87 higher at $117.45 and April live cattle closed $.12 lower at $123.82. March feeder cattle closed $1.20 higher at $138.65 and April feeder cattle closed $1.70 higher at $143.17.
Another very quiet day for direct cash cattle trade activity. Bids have been elusive. Asking prices in the South were at $116 to $117 live and $185 plus dressed in the North. It’s likely significant trade volume will be delayed until the latter part of the week.
At the Callaway Livestock Auction in Missouri, compared to last week yearling steers over 700 pounds and 600-to-650-pound heifers traded with a firm to higher undertone with a few good comparisons with the previous week. Heifers 650 to 700 pounds were steady to firm with all other weights lightly tested. The bitter cold weather throughout the area impacted supply. But there were several part loads and three pot loads of yearling steers and heifers on offer. Feeder supply included 51 percent steers and 78 percent of the offering was over 600 pounds. Medium and Large 1 feeder steers 717 to 723 pounds brought $143.50 to $144.75 and feeder steers 769 to 779 pounds $133.50 to $137. Medium and Large 1 feeder heifers 604 to 645 pounds brought $133 to $137.50 and feeder heifers 665 to 698 pounds brought $125.60 to $133.50.
Boxed beef closed mixed on light to moderate demand for moderate offerings. Choice closed $1.91 lower at $234.29 and Select closed $.12 higher at $220.73. The Choice/Select spread is $13.56. Estimated cattle slaughter is 115,000 head – down 3,000 on the week and down 9,000 on the year.
Lean hog futures ended the day mixed on spread adjustments, with higher pork values and lower cash trade during the session. February lean hogs closed $.42 higher at $72.60 and April lean hogs closed $.27 lower at $80.37.
Cash hogs ended the day sharply higher with a solid negotiated run. Packers bid up to move their desired numbers on Tuesday. Weather will likely be a limiting factor to business in the Midwest this week. The availability of market-ready barrows and gilts is more than ample and daily slaughter totals continue to push higher. While that’s keeping supply chains moving, it’s also adding more pork to the market. The industry remains optimistic demand strength will continue. Barrows and gilts at National Daily Direct closed $3.48 higher with a base range of $51 to $68 for a weighted average of $64.10; the Iowa/Minnesota had no comparison but a weighted average of $65.28; the Western Corn Belt had no comparison but a weighted average of $66.01; the Eastern Corn Belt had no comparison but a weighted average of $63.66.
Butcher hog prices at the Midwest cash markets are steady at midday at $44.
Pork values closed higher – up $.49 at $85.36. Bellies and butts were sharply higher. Picnics and ribs are higher. Loins are weak and hams are sharply lower. Estimated hog slaughter is 494,000 head – up 5,000 on the week and up 2,000 on the year. Monday’s hog slaughter has been revised to 488,000 head.
