Market News

Cash hogs close sharply higher, cattle futures were mixed

At the Chicago Mercantile Exchange,  live cattle futures were mixed, and feeder cattle were lower, watching corn and getting ready for the week’s direct business. October live was down $.12 at $144.20 and December was $.52 lower at $147.50. October feeders were $.87 lower at $174.65 and November was down $.85 at $175.20.

Direct cash cattle trade ended quiet throughout cattle country.  Bids were hard to find.  Some early asking prices were around $145 in the South, but did not establish in the North.  Significant trade volume should pick up steam today and the rest of the week.

At the Imperial Livestock Market in Nebraska, compared to last week, steers were $2 to $8 higher.  Heifers were $2 to $20 higher.  The USDA says demand was good on a good selection offered. Receipts were up on the week, but down on the year.  Feeder supply included 59% steers and 22 percent of the offering was over 600 pounds. Medium and Large 1 feeder steers 551 to 582 pounds brought $199 to $214 and feeder steers 661 pounds brought $192.  Medium and Large 1 feeder heifers 489 to 497 pounds brought $191 to $200 and feeder heifers 686 pounds brought $179.50.

Box beef closed higher with moderate box movement.  Choice is $2.10 higher at $248.04 and Select is $.60 higher at $221.91.  The Choice/Select spread is $26.13. Estimated cattle slaughter is 128,000, unchanged on the week, but down 6,000 on the year.

Lean hog futures were pressured by technical selling. October was down $1.77 at $87 and December was $3.30 lower at $74.42.

Cash hogs closed sharply higher after a monstrous negotiated run.  Processors were aggressive in their procurement efforts on Tuesday and bid up to move their desired numbers. Demand for US pork on the global market has been strong, helping provide price support despite concerns about a slowing global economy. Barrows and gilts at the National Daily Direct closed $10.17 higher with a base rage $80 to $98 and a weighted average of $92.77; the Iowa Minnesota had a weighted average of $94.76; the Western Corn Belt’s weighted average was $94.69; the Eastern Corn Belt had a weighted average of $84.46.

Butcher hog prices are $2 lower at $62. At Illinois, slaughter sow prices were steady with moderate demand for moderate offerings at $58 to $70. Barrows and gilts were $1-$2 lower with moderate demand for moderate offerings. Boars ranged from $39 to $41 and $9 to $19.

Pork values closed $1.64 lower at $98.29. Butts, ribs and hams were lower.  Bellies were $7.85 sharply lower.  Loins and picnics were up fractionally. Estimated hog slaughter is 487,000, up 4,000 on the week and 8,000 on the year.