Market News

Live cattle, hog futures start the week higher

At the Chicago Mercantile Exchange, live cattle closed higher, and feeders were lower, watching corn and direct cash business.  June live cattle closed $1.10 higher at $133.17 and August live cattle closed $1.55 higher at $133.90.  August feeder cattle closed $.60 lower at $167.42 and September feeders closed $.62 lower at $170.05. 

It was a relatively quiet start to the week for direct cash cattle trade. There were a handful of live deals reported in parts of Iowa at $142, but not near enough to establish a trend.   Showlists this week are higher across all major feeding areas.  Bids and asking prices are slow to surface.  It’s likely significant trade volume will be delayed until midweek or later. 

At the Oklahoma National Stockyards, compared to last week feeder steers are unevenly steady and feeder heifers are $3 to $5 lower.  Steer and heifer calves are $4 to $8 lower.  Steer and heifer calves were $4 to 48 lower.  The USDA says demand remains stronger for heavier weights and light to moderate for calves.  Receipts were up on the week and the year.  Feeder supply included 57% steers and 65% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 660 to 697 pounds brought $167 to $172 and feeder steers 851 to 899 pounds brought $149 to $150.  Medium and Large 1 feeder heifers 500 to 541 pounds brought $155 to $168 and feeder heifers 701 to 748 pounds brought $138 to $146. 

Boxed beef closed higher with solid demand for light offerings.  Choice closed $1.36 higher at $260.31 and Select closed $1.77 higher at $245.67.  The Choice/Select spread was $14.64. 

Estimated cattle slaughter 124,000 head – up 3,000 on the week and up 10,000 on the year. 

Lean hog futures closed higher, supported by recent higher trade in pork.  June lean hogs closed $3.07 higher at $103.82 and July lean hogs closed $3.60 higher at $104.80. 

Cash hogs closed higher with a very light negotiated run.  Packers continue to monitor the availability of market-ready hogs.  Processors have been moving their desired numbers without having to get aggressive in their procurement efforts.  While demand has been strong on the global market and domestically, there are long-term concerns adding pressure to prices. Barrows and gilts at the National Daily Direct closed $.17 higher with a base range of $98 to $108 and a weighted average of $101.64 and the Western Corn Belt closed $1.80 higher at $105.15.  Prices at the Iowa/Minnesota and the Western Corn Belt were not reported due to confidentiality. 

Butcher hog prices at the Midwest cash markets are steady at $70. 

Pork values closed higher – up $.38 at $101.55.  Bellies were sharply higher.  Picnics, butts, and loins were higher.  Ribs and hams were sharply lower.   Estimated hog slaughter is 480,000 head – up 19,000 on the week and up 7,000 on the year.