Chicago Mercantile Exchange live cattle contracts traded in a very narrow range and settled unchanged to 60 points higher. The main feature was spreading out of December into the deferred issues. October was unchanged at 86.20, and December was 5 points lower at 87.10. Boxed beef cutout values ended higher on light to moderate demand and offerings. Choice beef was up 1.34 at 144.61, and select was up 1.36 at 136.27.

It was a quiet session in the feeder pit, feeders ended mostly unchanged to 35 higher. There was some spreading, buying January and selling November. October was unchanged at 93.85 and November was down 2 at 95.95.

Feeder cattle receipts at the Oklahoma National Stockyards on Monday totaled 10,200 head. Feeders closed steady following a lower opening. Steer calves were steady to 2.00 lower. Feeder heifers and calves were steady to 2.00 lower. Demand was moderate for feeder cattle as the market was lacking depth. Demand was good for light weight or long weaned calves, light to moderate for un-weaned or Brahman cross calves.  Feeder steer calves medium and large 1 weighing 550 to 600 pounds traded at 95.00 to 105.00. Feeder heifers weighing 500 to 600 pounds brought 83.50 to 93.00.

Tuesday’s cattle slaughter was estimated at 124,000 head the same as last week and last year. For the most part the feedlot trade was dead quiet; with just a few bids according to private sources at 84.00 to 85.00 in the South where asking prices are around 88.00 to 89.00. Dressed bids in Nebraska were 130.00 to 132.00 and asking prices 137.00 +. New show lists appear to be as tight as last week with a slight increase in the North more than overshadowed by smaller offerings in the South.

Barrows and gilts at the terminals trended 1.00 lower to .50 higher but mostly steady from 27.00 to 35.50. Missouri direct base carcass meat price is steady at 42.00 to 48.00. Iowa/Minnesota hogs closed 1.09 lower at 51.61 on a carcass basis, the West was down .72 at 51.68, and the East was .17 higher at 49.40. Hog slaughter was estimated at 431,000 head, 1,000 less than last week and 6,000 under last year.  DTN says processors may be operating closer to the knife than previously thought. It will be interesting to see if they continue to support the country trade in the days ahead.

Lean hogs settled mostly 10 to 197 points higher with the strongest gains seen in the front months. The main push for the higher prices came from the sharp increase in cash prices on Monday. December settled 197 points higher at 55.42, and February was up .87 at 61.70. Pork trading was slow to moderate with light to moderate demand and offerings. The Pork carcass cutout was up 1.10 at 56.20.

Pork bellies settled 127 to 250 points higher with the most significant gains seen in the mid 2010 contracts. February ended 127 points higher at 90.25, and March was up 1.30 at 88.00.