Market News

Midday cash livestock markets

Direct cash cattle trade activity is off to a quiet start to the week.  Bids and asking prices have yet to be established.  With the drastic pullback in the futures prices, it wouldn’t be surprising for significant business to hold out until the latter part of the week.  Cash business saw a big boost last week, with most trade taking place on Wednesday.  Southern live deals ranged from $116 to $122, mostly $119 to $120, which was $9 to $10 higher than the prior week’s weighted averages.  Northern dressed business ranged from $180 to $191, around $17 higher than the previous week’s weighted average basis in Nebraska. 

Boxed beef opened lower to sharply lower on moderate demand for moderate to heavy offerings.  Choice is $1.17 lower at $251.13 and Select is $3.86 lower at $238.52.  The Choice/Select spread is $12.61. 

At the Oklahoma National Stockyards, compared to last week feeder steers and heifers are trading $4 to $8 lower in the early rounds.  Grazing cattle and all classes of calves are too lightly tested for an accurate trend.  The USDA says demand was light to moderate and quality was average to plain.  Receipts of 8,000 head are up drastically on the week and up on the year.  Feeder supply included 53 percent steers and 63 percent of the offering was over 600 pounds.  Medium and Large 1 feeder steers 564 to 598 pounds brought $140 to $170 and feeder steers 985 pounds brought $103.10.  Medium and Large 1 feeder heifers 512 to 524 pounds brought $128 to $136.50 and feeder heifers 758 to 777 pounds brought $106 to $114. 

Cash hogs opened lower to sharply lower with large negotiated numbers.  Packers continue to move big numbers, likely for two reasons.  To keep up with grocer demand as consumers continue to keep buying up what’s on the shelves, and also in case of a plant shutdown from a coronavirus outbreak.  Domestic demand has been fairly strong, but it’s unknown how long that will continue.  There is concern that consumers have been buying to stockpile, but that could drop off significantly, and it would be negative to prices.  The global protein picture remains a silver lining for the US pork sector.  Supplies are still short, and as long as US pork production isn’t disrupted, it is well-positioned to meet those global pork and protein needs. Barrows and gilts at the National Daily Direct opened $3.11 lower with a base range of $48 to $60 for a weighted average of $54.56; the Iowa/Minnesota opened $1 lower for a weighted average of $56.85; the Western Corn Belt opened $.97 lower for a weighted average of $56.85.  The Eastern Corn Belt was not reported due to confidentiality. 

Butcher hog prices at the Midwest cash markets are $4 lower at $36. 

Pork values opened lower – down $1.46 at $72.33.  Ribs dropped $42.26 this morning.  Picnics and hams are also sharply lower.  Butts, hams, and loins are sharply higher.