Market News
Cattle futures end the week under pressure
At the Chicago Mercantile Exchange, live cattle were mostly lower and feeder were down sharply, with boxed beef lower at midday. Feeders had additional pressure from the day’s higher move in corn. June live cattle closed $.05 higher at $116.82 and August live cattle closed $.45 lower at $118.07. August feeder cattle closed $3.02 lower at $149.92 and September feeder cattle closed $2.75 lower at $152.75.
There was another round light, scattered direct cash cattle trade to finish the week. Live deals were at $120 in the South and in Eastern Nebraska, fully steady with the week’s business. The week’s trade has had Southern live deals ranging from $119 to $120, mostly $120, steady to $1 higher than the previous week’s weighted averages. Northern dressed business had a full range of $190 to $193, mostly $191, fully steady with the prior week’s weighted average basis in Nebraska.
At the MO-KAN Livestock Market in Missouri, compared to last week steers and heifers were steady to $5 higher with most of the gain on those weighing 500 to 575 pounds. The USDA says demand was good for a moderate supply of good quality calves and a few packages of attractive yearlings. Receipts were down on the week and up on the year. Feeder supply included 54% steers and 35% of the offering was over 600 pounds. Medium and Large 1 feeder steers 553 to 590 pounds brought $157 to $171 and feeder steers 919 pounds brought $131.50. Medium and Large 1 feeder heifers 509 to 547 pounds brought $141 to $150 and feeder heifers 558 to 588 pounds brought $137.50 to $148.50.
In South Dakota, all classes of hay were steady to firm. The USDA says demand is very good for all types of hay as the drought continues across the state. The cold nights early in the growing season slowed alfalfa growth. Weather continues to be a factor as there’s no rain in the forecast for the next 10 to 14 days and it’ll be hot. Alfalfa, premium large squares brought $220 FOB. Alfalfa, good large squares brought $195. Alfalfa/grass mix, good, large rounds FOB brought $135 to $160 and large rounds delivered brought $160.
Boxed beef closed lower on light demand for moderate offerings. Choice is $1.57 lower at $338.98 and Select is $1.43 lower at $311.73. The Choice/Select spread is $26.50. Estimated cattle slaughter is 119,000 head – up 2,000 on the week and up 6,000 on the year. Saturday’s estimated kill is 98,000 head – up 64,000 on the week and up 36,000 on the year.
Lean hog futures ended the day higher, supported by sharply higher cash and wholesale business. June lean hogs closed $.12 higher at $119.50 and July lean hogs closed $1.60 higher at $120.60.
Cash hogs closed higher with a solid negotiated run. Processors were aggressive in their procurement efforts on Friday and bid up to move their desired numbers. Strong demand on the global market and domestically has provided a lot of price support as of late and the industry expects that to continue. Barrows and gilts at the National Daily Direct closed $.95 higher with a base range of $99.84 to $118.50 and a weighted average of $109.40, the Iowa/Minnesota had no comparison but a weighted average of $114.77, the Western Corn Belt closed $1.15 higher with a weighted average of $115.33; the Eastern Corn Belt had no comparison but a weighted average of $103.75. t reported due to confidentiality.
According to the USDA’s feeder pig report, all early-weaned pigs were $2 per head lower and all feeder pigs were $7 per head lower. Demand was light to moderate for moderate offerings and receipts included 47% formulated prices. The total composite cash range for early-weaned pigs was $32 to $54 and an average of $46.12. The total composite formula range was $37.70 to $54.07 and a weighted average of $44.25. The total composite cash range for all feeder pigs was $68 to $77 and an average of $72.39. The weighted average for all early-weaned pigs was $45.19 and the weighted average for all feeder pigs was $72.39.
Butcher hog prices at the Midwest cash markets are steady at $75. At Illinois, slaughter sow prices were steady with moderate demand for moderate offerings at $38 to $50. Barrow and gilt prices were steady with moderate to good demand for moderate to heavy offerings at $71 to $76. Boars ranged from $45 to $50 and $12 to $18.
Pork values closed higher – up $1.11 at $132.63. Butts, ribs, bellies, and loins were sharply higher. Hams and picnics were lower. Estimated hog slaughter is 478,000 head – up 53,000 on the week and up 35,000 on the year. Saturday’s estimated kill is 196,000 head – up 174,000 on the week and down 122,000 on the year.
