Market News
Live cattle futures higher at midweek
At the CME, live cattle closed higher and feeders were mostly higher ahead of the week’s direct cash business and Friday’s On Feed numbers. December live cattle closed $.50 higher at $132.22 and February live cattle closed $.30 higher at $136.40. November feeder cattle closed $.42 higher at $156.07 and January feeder cattle closed $.35 lower at $158.92.
It was a slow Wednesday for direct cash cattle trade activity. A few bids surfaced in parts of Nebraska at $132 live and $207 dressed and $130 live in Iowa. Asking prices were at $134 plus live in the South, but not fully established out of the North. Packer inquiry is expected to improve over the balance of the week.
At the Kingsville Livestock Auction in Missouri, compared to last week steers were steady to $4 higher and heifers were mostly steady. The USDA says demand was good as market fundamentals look solid and supply was moderate. There were still several green yearlings in the offering. Receipts were down on the week and the year. Feeder supply included 84% steers and 58% of the offering was over 600 pounds. Medium and Large 1 feeder steers 550 to 597 pounds brought $161 to $175 and feeder steers 653 to 690 pounds brought $156.25 to $169.25. Medium and Large 1 feeder heifers 572 to 578 pounds brought $144 to $159 and feeder heifers 711 to 738 pounds brought $145.85 to $157.25.
Boxed beef closed lower with light demand for heavy offerings. Choice is $3.66 lower at $278.47 and Select closed $2.53 lower at $264.06. The Choice/Select spread is $14.41. Estimated cattle slaughter was 122,000 head – even on the week and down 5,000 on the year.
Lean hog futures ended the day mostly higher on demand optimism. December lean hogs closed $1.55 lower at $76.17 and February lean hogs closed $.22 lower at $83.15.
Cash hogs closed lower with a moderate negotiated run. The industry continues to monitor the availability of market ready hogs and has been able to move their desired numbers at lower prices. Demand for US pork on the global market and domestically has been strong, which has been helping to provide some price support. Barrows and gilts at the National Daily Direct closed $0.86 lower with a base range of $53 to $57.50 and a weighted average of $56.30; the Iowa/Minnesota had a weighted average of $56.80; the Western Corn Belt had a weighted average of $56.64. Prices at the Eastern Corn Belt were not reported due to confidentiality.
Butcher hogs at the midwest cash markets are steady at $59.
Pork values closed sharply lower – down $3.25 at $84.52. Bellies closed $9.73 lower. Hams, picnics, and ribs were lower to sharply lower. Loins and butts were higher to sharply higher. Estimate hog slaughter is 484,000 head – which is up 6,000 on the week and down 9,000 on the year.
