Livestock futures close lower in quiet trade

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Livestock futures close lower in quiet trade

At the Chicago Mercantile Exchange, live and feeder cattle were lower in fairly quiet trade on technical selling and spillover from the outside markets. Live cattle had additional pressure from their premium to cash, while losses in feeders were limited by the lower corn. August live was down $.42 at $122.07 and October was $.95 lower at $127.20. August feeder cattle were $.32 lower at $158.17 and September was down $.15 at $161.80.

Direct cash cattle trade was mostly quiet on Friday with the bulk of the week’s business already wrapped up. The week’s southern live deals came in from $116 to $123.50, about $1 higher than last week’s weighted averages. Northern dressed deals averaged around $196, about even with last week’s Nebraska basis.

At the Clovis Livestock Auction in New Mexico, compared to last week, steers and heifers under 600 pounds had a higher undertone.  Feeders over 600 pounds were $3 to $4 higher. An improved price for load lots was noted. USDA says demand was very good.  Receipts were down on the week on the year. Feeder supply included 44 percent steers and 29 percent of the offering was over 600 pounds.  Medium and Large 1 feeder steers 623 to 626 pounds brought $151 to $164 and feeder steers 655 to 695 pounds brought $143 to $163. Medium and Large 1 feeder heifers 575 to 590 pounds brought $150 to $153, and feeder heifers 601 to 635 pounds brought $150 to $153. 

Boxed beef cutout values closed sharply higher on good demand for moderate offerings.  Choice closed $3.24 higher at $278.46 and Select closed $2.37 higher at $259.19.  The Choice/Select spread is $20.41. 

Estimated cattle slaughter is 114,000 head, up 4,000 on the week and 3,000 on the year.

Lean hog futures were pressured by the lower cash during the session, ignoring the higher midday move in pork. August was down $.10 at $106.20 and October was $.95 lower at $88.02.

Cash hogsclosed lower.

Barrows and gilts at the National Daily Direct closed with a weighted average of $101.70; The Iowa/Minnesota had a weighted average of $103.84; the Western Cornbelt had a weighted average of $103.60; the Eastern Cornbelt was not reported due to confidentiality.  

At Illinois, slaughter sow prices were steady with good demand for light to moderate offerings at $64 to $81.  Barrow and gilt prices were steady with moderate to good demand for moderate offerings at $21 to $25.  Boars ranged from $10 to $50.  

Pork values closed firm, up $.02 at $123.89. Hams and butts closed sharply higher. Picnics, Loins and bellies closed lower to sharply lower.

Estimated hog slaughter is 439,000 head, up 5,000 on the week but down 35,000 on the year.