Market News
Cattle, hogs end the week mixed
At the Chicago Mercantile Exchange, live and feeder cattle ended the day mixed, watching corn and direct business. August live cattle closed $.40 lower at $122.75 and October live cattle closed $.37 lower at $128.12. August feeder cattle closed $.65 lower at $158.05 and September feeder cattle closed $.47 lower at $163.07.
It was a quiet end to the week for direct cash cattle trade following the light to moderate business that took place on Wednesday and Thursday. Live deals in the South had a full range of $119 to $125, mostly $121, which was fully steady with the prior week’s trade. Northern dressed business had a full range of $198 to $204, mostly $198, also about steady with the previous week’s weighted average basis in Nebraska.
At the Herreid Livestock market in South Dakota, the best test was on steers 850 to 950 pounds were steady to $2 higher, steers 951 to 1050 pounds were $2 to $5 higher with instances of up to $8 higher. The USDA says demand was good to very good for the large offering of loads and strings, including a long-strong of 3000 steers from one family operation. All of the cattle in the day’s offering was off dry grass and in mostly light to moderate flesh. Quality was similar to the previous week, mostly attractive overall. The market was active. Receipts were up on the week and the year. Feeder supply included 83% steres and 99% of the offering was over 600 pounds. Medium and Large 1 feeder steers 851 to 892 pounds brought $154 to $165.25 and feeder steers 905 to 945 pounds brought $154.50 to $158.25. Medium and Large 1 feeder heifers 701 to 745 pounds brought $154 to $158.75 and feeder heifers 817 to 826 pounds brought $146.50 to $150.50.
At the South Dakota Hay market, compared to last week, all classes of hay remain firm. Demand was very good for all classes and types of hay. Producers who were making their third cutting of alfalfa had to contend with high dew points and poor curing conditions. Rain has not been widespread and temperatures have been hot. There is some forecast for cooler weather with rain later in the week. Cattle producers continue to sell down their herds to match limited forage supplies. Alfalfa, supreme large rounds brought $230, large squares brought $250 to $300. Alfalfa, premium large rounds brought $180 to $200 and large squares brought $200 to $255. Alfalfa premium small squares brought $7.50. Alfalfa, good large rounds brought $200. Alfalfa/Grass mix, premium large squares brought $200.
Boxed beef closed sharply higher with good demand for moderate offerings. Choice closed $6.90 higher at $324.83 and Select closed $7.71 higher at $298.02. The Choice/Select spread was $26.81. Estimated cattle slaughter 119,000 head – up 6,000 on the week and the year. Saturday’s estimated kill is 58,000 head – up 10,000 on the week and down 7,000 on the year.
Lean hog futures ended the day mixed on spread trade and the sharply higher pork values. August lean hogs closed $.32 at $109.80 and October lean hogs closed $.05 at $86.52.
Cash hogs closed lower with a light negotiated run. The industry continues to monitor the availability of market-ready hogs. While prices have dropped back recently, the overall strong demand for US pork on the global market has helped provide some price support, which is expected to continue. However, should a disruption occur, prices would likely tumble. Barrows and gilts at the National Daily Direct closed $2.15 lower with a base range of $96.50 to $105 and a weighted average of $97.97; the Iowa/Minnesota had a weighted average of $103.63; and the Western Corn Belt had a weighted average of $102.91. Prices at the Eastern Corn Belt were not reported due to confidentiality.
According to the USDA’s Feeder Pig Report, early-weaned pigs were steady and all feeder pigs were $6 per head lower on light receipts. Demand was light to moderate on moderate offerings and receipts included 47% formulated prices. The Total Composite cash range was $35.50 to $50 with a weighted average of $42.80. The Total Composite formula range is $38.35 to $47.67 with a weighted average of $44.78. The weighted average for all early-weaned pigs was $43.76 and the weighted average for all feeder pigs was $57.20.
Butcher hog prices at the Midwest cash markets in Dorchester, Wisconsin is $70. At Illinois, slaughter sow prices were steady with good demand for moderate to heavy offerings at $69 to $85. Barrows and gilts were steady with moderate demand for moderate offerings at $62 to $70. Boars ranged from $45 to $50 and $10 to $12.
Pork values closed sharply higher – up $6.31 at $125.68. Hams and butts were both sharply higher. Loins were higher. Bellies, picnics, and ribs were lower to sharply lower. Estimated hog slaughter 471,000 head – up 22,000 on the week and up 3,000 on the year. Saturday’s estimated kill is 77,000 head – up 22,000 on the week and down 143,000 on the year.
