Market News

Cattle futures lower, direct cash markets quiet

 

Chicago Mercantile Exchange live cattle futures were lower on a lack of follow through after early gains as traders watch the direct cash markets. Also, the trade was disappointed in the inability of the wholesale market to hold Monday’s gains. June was down $.45 at $152 and August was $.07 lower at $151.82.

Feeder cattle futures were lower on a lack of follow through, the mixed midday boxed beef, and firm corn. August was $.42 lower at $225.35 and September was down $.45 at $223.55.

Direct cash cattle markets were at a standstill on Tuesday. Packer inquiry was pretty much non-existent and widespread business isn’t expected until Thursday or Friday. Asking prices have held around $152 to $153 Live in the South and $245+ Dressed in the North. DTN did report very light trade at $240 Dressed in Nebraska. This week’s showlist looks mixed when compared to last week.

At the Carthage-Joplin Regional Stockyards in Missouri, compared to the previous week, feeder steer calves weighing less than 450 pounds were steady, while steer calves over 450 pounds were $2 to $6 lower. Heifer calves weighing less than 500 pounds were $6 to $12 lower and heifer calves weighing 500 pounds and heavier were $2 to $6 lower. Yearlings were steady. Demand was moderate to good with a moderate supply. The USDA says calf buyers were less aggressive for flesh, un-weaned cattle, citing the forecasts for hot weather throughout the week. 56% of the feeder supply were steers and 53% of the offering weighed more than 600 pounds. 506 to 592 pound feeder steers sold at $247.50 to $287.50 and 758 to 759 pound steers ranged from $219 to $233. 550 to 594 pound feeder heifers brought $224 to $241 and 601 to 649 pound heifer calves sold at $224 to $229.

Boxed beef closed mixed on moderate to fairly good demand and moderate offerings. Choice was up $1.09 at $254.13 and Select was down $.07 at $247.99. The estimated cattle slaughter of 113,000 head was steady on the week and down 2,000 on the year.

Lean hog futures were mixed on supply and demand uncertainties. Traders were continuing to digest the cold storage numbers, while getting ready for Friday’s quarterly hogs and pigs update. July was up $.12 at $74.35 and August was down $.12 at $72.25.

Cash hog business was mixed, dependent on packer demand. Late spring/early summer market ready numbers have been a little more ample than expected and wholesale pork demand has been inconsistent recently. National Direct barrows and gilts closed down $.01 at $62 to $76 for a weighted average of $74.93, the Western Cornbelt was up $.22 at $74 to $76 with an average of $75.57, and Iowa/Southern Minnesota was $.25 higher at $74 to $76 for an average of $75.69. Butcher hogs at the Midwest cash markets were steady to $1 lower with tops at $48 to $60. The Missouri Direct base carcass meat price was steady at $70 to $71. Missouri sows were steady to $1 lower at $27 to $35. Illinois direct sows were steady at $27 to $40.

The pork carcass cutout value was down $1.83 at $82.87. Ribs and bellies were higher, all other primals were lower. The estimated hog slaughter of 422,000 head was down 2,000 from a week ago, but up 22,000 from a year ago.