Cattle trading on Friday was light in Texas at 98.00. Trade was also limited on light demand in Kansas, the Northern Plains as well as the Western Corn belt. Not enough sales in any feeding region to establish an adequate market test. Cattle traded earlier in the week at 98.00 to 98.50 in the South. In the North and western Corn Belt live sales were reported at 98.00 to 99.50 and dressed sales from 157 to 159.00. Show lists may be somewhat larger on Monday with carryover cattle evident in parts of the South. On the other hand processing margins remain excellent, a reality that should spark large packer appetites. As of Friday afternoon USDA Mandatory reported the negotiated cattle sales for the week at 153,939 head, 18,234 head less than last week. The weekly cattle slaughter was estimated at 660,000 head 19,000 more than a week ago and 6,000 less than last year. Boxed beef cutout values were steady to firm on light to moderate demand and offerings. Choice boxed beef was up .25 at 170.21, and select was .06 higher at 167.08.
Chicago Mercantile exchange live cattle contracts settled 20 to 95 points higher, Strong commercial and noncommercial buying entered the market at week’s end as outside financial markets soften once again. But the strong support in the outside commodity markets have allowed fund buyers to remain attracted to the live cattle futures for now. April went off the board at noon at 99.92 up .95; June was up .35 at 94.22.
Feeder cattle ended the session 10 to 52 points higher on support from the live pit. The higher corn prices haven’t seemed to dampen the feeder cattle markets as the momentum in the outside commodity markets have traders jumping into the livestock markets. May settled .27 higher at 112.80, and August was up .25 at 116.07.
Feeder cattle receipts at Missouri auctions this week totaled 30,930 head. Compared to last week feeder steers less than 500 pounds sold steady to 5.00 to 7.00 higher. Feeder steers over 500 pounds and all weights of heifers sold steady to 3.00 higher. Feeder steers medium and large 1; 864 head averaging 576 pounds traded at 127.15, 568 heifers averaging 574 pounds brought 116.45 per hundredweight.
Barrows and gilts in the Iowa/Minnesota trade closed at 82.57, the West ended at 82.64 on a carcass basis, both were down .09, the East was 1.28 higher at 83.80.The weekly hog kill was estimated at 2,028,000 head, 45,000 less than last week, and 19,000 fewer than a year ago. Despite minimal Saturday kill plans, light country receipts in the late rounds this week probably means pork packers will start the week quite close to the knife on Monday.
Lean hog contracts ended sharply higher from 87 to 250 points. The support in the market was somewhat unclear as the fundamental market has not changed. The support in the live cattle market over the last couple of days has allowed for additional investor trade to jump into the lean hog market, and encouraging additional support according to DTN. May lean hogs were up 1.92 at 89.62 and June was up 2.50 at 86.32. Pork trading was slow, with light to moderate demand and offerings. The pork carcass cutout was down .24 at 89.96.
Pork bellies finished higher on support from the lean pit and short covering. July was .80 higher 898.60.