Market News

Midday cash livestock markets

Direct cash cattle markets are quiet. The big feature today will be the distribution of this week’s new showlist, which could be steady to larger than last week following light to moderate activity in many of the major feeding areas. Asking prices are not yet established but are expected to be higher after last week’s higher business. Last week’s slaughter was 624,000 head, the largest in about six months, and wholesale business is starting to show signs of improving, with warmer weather and grilling season on the horizon.

Boxed beef at midday was sharply higher with light movement. Choice was up $2.71 at $214.69 and Select was $1.70 higher at $201.83.

At the Ft. Pierre Livestock Auction cattle sale in South Dakota Friday, feeder steers weighing less than 700 pounds were too lightly tested to have a comparison, while steers weighing more than 700 pounds were $2 to $4 higher. Feeder heifers didn’t have a good week to week comparison, with most headed back as replacement heifers. The USDA says demand was good overall and very good demand for replacements. Medium and Large 1 feeder steers weighing 800 to 900 pounds ranged from $134 to $149, while 231 head averaging 906 pounds were pegged at $132.75 to $135.75 and 216 head averaging 963 pounds came out at $133. Medium and Large 1 feeder heifers weighing 650 to 700 pounds brought $144 to $150.50 and 800 to 900-pound replacement heifers ranged from $131.50 to $136.50.

Cash hogs are mixed, with very light to moderate opening negotiated numbers for the major direct markets. Margins have narrowed, and market ready numbers have tightened, but last week’s kill was larger than expected, topping 2.4 million head, so supplies may not be contracting as fast as anticipated. The wholesale pork market hasn’t really seen its seasonal rally yet, but that could be just around the corner, with warmer weather expected in many parts of the U.S. A free trade agreement recently reached between Mexico and the European Union is expected to make most E.U. pork sales to Mexico duty free. Mexico is a big buyer of U.S. pork and NAFTA renegotiations are ongoing.

Pork at midday was down $.06 at $67.85. Ribs and hams were lower, while loins, butts, picnics, and bellies were firm to sharply higher.

National direct barrows and gilts opened $.26 lower at $52 to $57.69 for a weighted average of $57.50. The Iowa/Southern Minnesota, Western Cornbelt, and Eastern Cornbelt direct markets were not reported due to confidentiality. Butcher hogs at the Midwest cash markets are steady to $2 higher at $35 to $44. Missouri direct butchers are steady to $4 higher at $45 to $52 on light to moderate supply and demand. Sows are steady to $5 higher at $30 to $44. Illinois direct sows are steady at $30 to $44 on moderate demand for moderate offerings. Barrows and gilts are steady at $33 to $40, also on moderate demand for moderate offerings. Boars range from $8 to $17.