Cattle futures firm, hogs higher on cash strength
Chicago Mercantile Exchange live cattle futures were mostly firm and feeders were lower, watching corn and the development of direct cash business. August live was up $.05 at $134.55 and October was down $.10 at $139.85. August feeders were $.82 lower at $172.47 and September was down $1.02 at $176.05.
Direct cash cattle trade has been mostly quiet with a few deals coming in this afternoon. Southern deals took place mostly at $137, steady to $1 lower than last week. Northern dressed trade took place from $147 to $151, steady to $1 higher than last week.
Boxed beef closed mixed. Choice closed $.02 higher at $268.07 and select is finished $.35 lower at $242.58. The choice/select spread is $25.49.
At the Mitchell Livestock Auction in South Dakota, compared to last week, a lower undertone was noted on steers up to 900 pounds, steers 900 to 950 pounds sold steady, and steers from 1050 to 1100 sold $3 lower. Heifers from 800 to 1,000 pounds sold unevenly steady. USDA says demand was good with many load lots available. Receipts were sharply up on the week but sharply down on the year. Feeder supply included 56 percent steers and 99 percent of the offering was over 600 pounds. Medium and Large 1 feeder steers weighing 802 to 841 brought $167.75 to $173 and feeder steers from 901 to 949 pounds brought $160 to $166.25. Medium and Large 1 feeder heifers weighing 825 to 848 pounds brought $160 to $167.25 and feeder heifers from 901 to 946 pounds brought $150 to $153.75.
Estimated cattle slaughter is 126,000 head, up 2,000 on the week and 6,000 on the year.
Lean hog futures were supported by the higher midday move in pork. July was $.10 higher at $113.25 and August was up $.30 at $109.50.
Cash hogs closed lower. Processors have been slow in their procurement efforts. The industry continues to monitor the availability of market-ready hogs. Demand for US pork on the global market has been strong and that’s helping provide some price support.
Barrows and gilts at the National Daily Direct closed $3.17 lower with a base range of $112 to $127 for a weighted average of $120.72. The Iowa Minnesota had a weighted average of $125.07; the Western Cornbelt had a weighted average of $125.07; the Eastern Cornbelt wasn’t reported due to confidentiality.
Pork values closed $.69 higher at $112.19. Bellies were sharply higher, up $9; picnics and butts were higher; Ribs, hams, and loins were lower.