Direct cash cattle trade has been…

Market News

Direct cash cattle trade has been developing through the morning with deals being reported in the North at $198, about $1 lower than last week’s weighted average basis in Nebraska. Some of the sales will have a delayed delivery. Southern live deals have come in around $124, mostly steady with last week’s weighted averages. Northern asking prices are being set at $200 and Southern asking prices are establishing around $125. This week is seemingly following last week’s trend of widespread business occurring on Wednesday. Beef cutouts are expected to continue a lower move on light box movement.

Boxed beef cutout values are lower at midday, choice is $2.42 lower at $308.95 and select is 41 cents lower at $277.60. The choice/select spread is $31.35.

At the McAlester Union Stockyards in McAlester, Oklahoma, compared to last week, steer calves under 650 pounds sold steady to $5 lower while steer calves over 650 pounds sold $2 to $5 higher. Heifer calves under 550 pounds sold $5 to $7 lower, over 550 pounds sold $4 to $6 higher. USDA says demand was good with average quality. Receipts were down on the week but up on the year. Feeder supply included 41 percent steers and 23 percent of the offering was over 600 pounds. Medium and Large 1 feeder steers weighing 500 to 545 pounds brought $152 to $166 and feeder steers from 600 to 645 pounds brought $145 to $155. Medium and Large 1 feeder heifers weighing 502 to 545 pounds brought $128 to $136 and feeder heifers from 602 to 645 pounds brought $121 to $135.

Cash hogs are unreported at midday but have a lower five-day rolling average. Hog prices have been on a downward trend for most of the month. Processors continue to monitor the availability of market-ready barrows and gilts. With the ample supplies, they’ve been able to move their desired numbers with lower bids.  Demand for US pork on the global market and domestically has been strong, but there are some concerns about the long-term demand picture. As of the close Tuesday, Barrows and gilts at the National Daily Direct were $1.18 lower with a base range of $76 to $81 and a weighted average of $78.14.  The Iowa/Minnesota closed with a weighted average of $78.44 and the Western Corn Belt had a weighted average of $78.02.  Prices at the Eastern Corn Belt were not reported due to confidentiality. 

Butcher hogs at Dorchester, Wisconsin are steady at $60. Garnavillo, Iowa is closed for the week. At Illinois, slaughter sow prices were mostly $3 lower with moderate demand for very heavy offerings at $52 to $70.  Barrow and gilt prices were $1 with moderate demand for moderate offerings at $45 to $55.  Boars ranged from $15 to $30. 

Pork values are sharply higher at midday, up $3.93 at $106.69. Hams are up more than $13, bellis up nearly $8, butts are also sharply higher, ribs are higher. Loins and picnics are sharply lower.