Market News
Hog futures head into the weekend higher
At the Chicago Mercantile Exchange, live cattle ended the day mixed and feeder cattle were lower watching corn and consolidating ahead of the long holiday weekend. June live cattle closed $.47 lower at $115.87 and August live cattle closed $.82 lower at $118.60. August feeder cattle closed $1.50 lower at $151.35 and September feeder cattle closed $1.30 lower at $153.52.
A quiet end to the week for direct cash cattle trade activity. Southern live deals ranged from $116 to $120, mostly $119 to $120, steady to $1 higher than the previous week’s weighted averages. Northern dressed deals had a full range of $187 to $192, mostly $191, generally steady with the prior week’s weighted averages.
At the MO-KAN Livestock Market in Missouri, compared to last week, the un-weaned steers and heifers were mostly steady, but the higher quality weaned steers and a few consignments of yearlings sold with a firm to higher undertone. The USDA says demand was moderate for the un-weaned calves but good for the weaned calves and yearlings. Supply was moderate. Receipts were up on the week and the year. Feeder supply included 46 percent steers and 29 percent of the offering was over 600 pounds. Medium and Large 1 feeder steers 476 to 492 pounds brought $181 and feeder steers 657 to 693 pounds brought $150 to $156.50. Medium and Large 1 feeder heifers 550 to 580 pounds brought $140 to $145.50 and feeder heifers 552 to 595 pounds brought $129.50 to $138.
At the South Dakota Hay market, all classes of hay were steady to firm. The USDA says demand was very good for all types of hay as the drought continues across the state. Cool weather earlier in the month has delayed alfalfa growth and drying weather for the first cutting of alfalfa has been difficult. The forecast for the coming week is much warmer and drier. Alfalfa, large squares brought $200 FOB. Large squares, delivered, brought $240. Alfalfa/grass mix, good large rounds brought $160 delivered. Large rounds FOB brought $135 to $160.
Boxed beef closed mixed on light to moderate demand for light offerings. Choice closed $.99 higher at $330.97 and Select is $3.20 lower at $300.90. The Choice/Select spread is $30.07. Estimated cattle slaughter is 117,000 head – down 2,000 on the week and up 7,000 on the year. Saturday’s estimated kill is 34,000 head – down 44,000 on the week and down 51,000 on the year.
Lean hog futures ended the day higher, supported by sharply higher pork values during the session and long-term demand expectations. June lean hogs closed $1.52 higher at $117.25 and July lean hogs closed $2.65 higher at $119.35.
Cash hogs closed mixed with a fairly light negotiated run. Processors continue to monitor the availability of market-ready barrows and gilts. And while they’ve been pretty aggressive in their procurement efforts lately, they’ve pulled back on the throttle. Demand strength on the global market and domestically has been largely supportive of prices recently. But, should a disruption occur, it would likely send prices tumbling. Barrows and gilts at the National Daily Direct closed $1.89 lower with a base range of $99.84 to $114 and a weighted average of $105.32; the Iowa/Minnesota closed $.47 higher with a weighted average of $111.97; the Western Corn Belt closed $.80 higher with a weighted average of $111.71. Prices at the Eastern Corn Belt were not reported due to confidentiality.
According to the USDA’s National Feeder Pig Report all early-weaned pigs and all feeder pigs were steady to weak. Demand was light to moderate for moderate offerings and receipts included 57 percent formulated prices. The total composite cash range was $35 to $54 with a weighted average of $48.56. The total composite formula range was $35.85 to $50.94 and a weighted average of $42.63. The Weighted Average for all early-weaned pigs was $44.93 and the weighted average for all feeder pigs was $80.13.
At Illinois, slaughter sow prices were weak with light to moderate demand for heavy offerings at $38 to $52. Barrow and gilt prices were firm with light to moderate demand for light offerings at $71 to 74. Boars ranged from $40 to $45 and $12 to $18.
Pork values closed firm – up $.22 at $126.59. Ribs, butts, bellies, and hams were all higher to sharply higher. Picnics and loins were sharply lower. Estimated hog slaughter is 425,000 head – down 38,000 on the week and up 3,000 on the year. Saturday’s estimated kill is 22,000 head – down 10,000 on the week and down 265,000 on the year.
