The feedlot trade appears to be completed for the week. Asking prices for cattle left on the show lists are around 118.00 in the South and 188.00 in the North. On the other hand, feedlot managers would probably respond to decent basis opportunities if packers are willing to bid accordingly. However, cattle buyers seem defensive, no doubt troubled by eroding beef cutouts and unattractive processing margins. It looks like the chain speed could be slower on Friday and Saturday. Thursday’s cattle slaughter was estimated at 128,000 head, 2,000 less than last week, but the same as 2010.

Boxed beef cutout values were weak to lower on fairly good demand and heavy offerings. Choice boxed beef was down .59 at 184.14, and select was down 1.71 at 177.90.

Chicago Mercantile Exchange live cattle contracts closed lower on softer boxed beef values and continued concerns about domestic and foreign demand for beef. Sharply lower corn prices also weighed on the live issues.  April was down .12 at 117.15, and June was .37 lower at 113.17.

Feeder cattle ended the session 95 to 127 points higher on the sharp losses in the corn market, this was especially evident in the front months. Volume was extremely light throughout the complex. May settled .97 higher at 131.37, and August was 1.27 higher at 136.12.

Feeder cattle receipts at the Hub City Livestock Auction at Aberdeen, SD totaled 3739 head on Wednesday. There was a limited comparison with last week’s lower volume sale. Lighter feeder cattle sold mostly steady while heavier feeder steers and heifers sold with definite lower undertones. 900 lb steers sold 4.00 lower. Soft ground continues to be an issue as one of the consignors was unable to make delivery. It was an active market with good demand. 484 steers medium and large 1 averaging 873 pounds traded at 127.75. 111 replacement heifers averaging 828 pounds brought 125.34 per hundredweight.

Lean hogs settled 20 to 105 points in the red on the lack of support in the pork cutout values. Lower cash prices and poor pork demand concerns also weighed on futures. May settled at 96.80 down .95 and hit a six week low. June was .20 lower at 96.50.

Barrows and gilts in the Iowa/Minnesota direct trade closed 1.50 lower at 90.28, the West was down 1.64 at 89.68, and the East is .34 lower at 90.99. Missouri direct base carcass meat price was steady from 85.00 to 86.00. Hog slaughter was estimated at 413,000 head, 2,000 more than last week, and 11,000 greater than last year.

Pork trading was slow to moderate with mostly light demand and moderate offerings. Pork carcass cutout value was down .68 at 91.76.

Although Iowa barrows and gilts weighed a bit heavier last week at  272.9 pounds, .7 pound greater than the previous week and 3 pounds bigger than 2010, the new flat structure of the lean hog board, together with still rising feed bills, will no doubt encourage pork producers to sweep finishing floors more and more aggressively. Spring/summer tonnage is likely to be limited by both fewer numbers and light carcasses.