Market News

Live cattle higher waiting for cash business

At the Chicago Mercantile Exchange, live cattle closed higher and feeders were mixed ahead of the week’s direct cash business.  December live cattle closed $.10 higher at $152.67 and February live cattle closed $.12 higher at $154.80.  January feeder cattle closed $1.12 higher at $178 and March feeder cattle closed $.57 higher at $181.17.

It was another quiet day for direct cash cattle business.  Asking prices were at $156 to $157 live in the South, while the North remained quiet.  Bids were non-existent. It’s likely significant trade volume will be delayed until midweek or later. 

At the Joplin Regional Stockyards in Missouri, compared to last week feeder steers under 800 pounds were steady and heavier weights were steady to $2 lower.  Feeder heifers under 475 pounds were steady to $3 higher with heavier weights steady.  The USDA says supply was heavy and was met with very good demand.  Receipts were down on the week and up on the year. Feeder supply included 59% steers and 54% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 601 to 645 pounds brought $179 to $193 and feeder steers 920 to 948 pounds brought $169 to $173.50.  Medium and Large 1 feeder heifers 450 to 489 pounds brought $176 to $188 and feeder heifers 551 to 590 pounds brought $167 to $179.50. 

Boxed beef closed mixed on light to moderate demand for moderate offerings.  Choice closed $.21 higher at $254.74 and Select closed $2.73 lower at $225.82.  The Choice/Select spread was $28.92. Estimated cattle slaughter was 128,000 head – down 1,000 on the week and up 4,000 on the year. 

Lean hog futures ended the day mixed on the mixed cash business during the session and ongoing demand uncertainty.  December lean hogs closed $.47 higher at $81.07 and February lean hogs closed $.60 lower at $84.15.

Cash hogs closed mostly higher with a solid negotiated run.  Throughout the day processors in some instances worked a little harder to move their desired numbers.  Demand for US pork has been strong on the global market and domestically, but there are concerns a slowing global economy could impact that and ultimately lower prices. 

Barrows and gilts at the National Daily Direct had a base range of $76.50 to $87.50 with a weighted average of $83.91; the Iowa/Minnesota closed $.45 higher with a weighted average of $85.43; the Western Corn Belt closed $.48 higher with a weighted average of $85.43; the Eastern Corn Belt closed $.01 lower with a weighted average of $81.20. 

Butcher hog prices at the Midwest cash markets are steady at $60. At Illinois, slaughter sow prices were $2 lower with light demand for light offerings at $47 to $59.  Barrows and gilts were steady with moderate demand for moderate offerings at $58 to $68.  Boars ranged from $30 to $35 and $9 to $19. 

Pork values closed lower – down $3.84 at $85.68.  Hams were sharply lower.  Picnics, bellies, loins, and butts were all lower.  Ribs were higher. Estimated hog slaughter was 494,000 head – up 2,000 on the week and up 15,000 on the year.