Market News

Cattle futures higher on technical buying

At the Chicago Mercantile Exchange, cattle futures gained back some of Wednesday’s losses as they recover from oversold territory.  Feeder cattle found some support in the slightly lower move in corn.  December live cattle closed $.62 higher at $116.27 and February live cattle closed $.77 at $119.15.  January feeder cattle closed $.60 higher at $146.25 and March feeder closed $.30 higher at $144.35.

Direct cash cattle trade has been at a standstill with the exception of a handfull of sales in Iowa.  There are just a few bids and asking prices reported and they’re separated by at least $3 to $4.  That will likely delay any significant trade volume until tomorrow.  Showlists have been priced around $119 ot $120 in the South and $190 plus in the North with bids at $116 and $186.

Boxed beef closed sharply lower on light to moderate demand and offerings.  Choice closed $1.44 lower at $201.04 and Select closed $1.33 lower at $183.69.  The Choice/Select spread closed at $17.35.

At the Sheridan Livestock Auction in Nebraska receipts were up from the previous auction.  The USDA says there was a good demand for big strings of packages of and preconditioned calves.  The bidding was good throughout the sale with a higher undertone noted.  Feeder supply included 47 percent steers and 62 percent of the offering was over 600 pounds.  Feeder steers, Medium and Large 1’s 550 to 599 pounds were $177.00 to $187.50 and Medium and Large 1’s 660 to 682 pounds were $164.50 to $174.00.  Feeder heifers, Medium and Large 1’s 500 to 539 pounds were $158.00 to $169.50 and Medium and Large 1’s 607 to 647 pounds were $150.50 to $158.00.

Estimated cattle slaughter is 120,000 head – up 1,000 on the week and 4,000 on the year.

Lean hog futures closed moderately higher in light trade volume as the market looked to correct oversold indicators and on support from the cash trade.  The higher move in wholesale values also provided some support.  February lean hogs closed $.82 higher at $67.62 and April lean hogs closed $.77 higher at $72.25.

Cash hogs closed lower.  The trade continues to watch the availability of market-ready numbers.  Slaughter runs have been big this week – which is expected to continue.  Concerns are mounting if demand can keep pace with supply and increased production.

Barrows and gilts at the Iowa/Southern Minnesota closed $.29 lower with a range of $53.50 to $57.50 with a weighted average of $56.37; the Western Corn Belt closed $.32 lower with a range $51.00 to $57.50 and a weighted average of $56.25; the Eastern Corn Belt was not reported due to confidentiality; and the National Daily Direct closed $.38 lower with a range of $50.00 to $58.52 and a weighted average of $56.61.

Butcher hogs at the Midwest cash markets are steady at $36.00 to $42.00.

At the Interior Missouri Direct, barrows and gilts are steady at $50.00 to $53.00 on light to moderate supply and demand.  Sows are steady to $2.00 higher at $30.00 to $38.00.

At Illinois, slaughter sow prices are weaker at $26.00 to $40.00 with moderate demand for moderate offerings.  Barrows and gilts are $2.00 lower at $34.00 to $41.00 with moderate demand for moderate offerings.

Pork value closed higher – up $.80 higher at $77.31.  The primals were mostly higher including a nearly $7.00 jump in the rib.

Estimated hog slaughter is 466,000 head up 2,000 on the week and 26,000 on the year.