Market News

Cattle futures end the week on a positive note

At the Chicago Mercantile Exchange, cattle futures ended the day higher on follow-through buying and the week’s improved direct cash business.  August live cattle closed $.75 higher at $100.00 and October live cattle closed $.65 higher at $104.57.  August feeder cattle closed $1.22 higher at $135.75 and September feeder cattle closed $1.15. 

Direct cash cattle trade ended the week quietly.  There was a lone bid hanging round on Friday at $155 dressed.  The week saw light to moderate business just about every day with dressed deals ranging mostly from $155 to $157 and live deals in the South around $95 most of the week. 

In Missouri this past week, feeder steers and heifers were steady to $5 higher.  Heavier weight, long-time weaned steers with good health programs were well received.  Receipts were down on the week, but nearly steady on the year.  Feeder supply included 57 percent steers and 53 percent of the offering was over 600 pounds.  Medium and Large 1 feeder steers 550 to 598 pounds brought $134 to $161 and feeder steers 600 to 648 pounds brought $125 to $160.50.  Medium and Large 1 feeder heifers 550 to 599 pounds brought $120 to $140 and feeder heifers 650 to 699 pounds brought $114 to $144.35. 

At the Nebraska Hay markets, compared to last week, alfalfa was steady, ground and delivered hay was steady to $10 higher.  Some producers are on their second cutting of alfalfa, while some producers are haying meadows that haven’t been cut in recent years.  Rains have been spotty.  In Eastern/Central Nebraska Alfalfa: Premium large squares brought $175 to $210; good large squares brought $150 to $155; good large rounds brought $90 to $120.  Brome mix: Good small squares brought $5 to $6 per bale.  Prairie Hay, new crop premium large rounds brought $100.  Dehy Alfalfa pellets 17 percent protein brought $310.  Sun-cured pellets 15 percent protein brought $285.  In the Platte Valley area of Nebraska: Alfalfa: cane in large rounds brought $75.  Ground and delivered alfalfa brought $115 to $130. Dehy Alfalfa pellets 17 percent protein brought $280 to $285.  In Western Nebraska: Alfalfa premium large squares brought $180.  Ground and delivered alfalfa brought $133. 

Boxed beef closed mixed with light to moderate demand for light offerings.  Choice closed $.91 higher at $204.50 and Select closed $.54 lower at $194.29.  The Choice/Select spread is $10.21.   Estimated cattle slaughter is 119,000 head – up 10,000 on the week and up 2,000 on the year.  Saturday’s estimated kill is 71,000 head – up 6,000 on the year. 

Lean hog futures ended the day mostly lower on profit-taking and the lower trend in cash prices.  July lean hogs up $.12 at $45.97 and August lean hogs closed $.35 lower at $49.87. 

Cash hogs closed steady to weak with solid negotiated numbers.  The industry remains optimistic demand will continue to push higher, both domestically and globally, which would provide some price support.  Packers were aggressive in their procurement efforts and moved big numbers this week.  Supplies of market-ready hogs are more than ample and the industry is still working to dig through the backlog of hogs in the supply chain.  Daily slaughter capacity continues to increase and that’s helping to alleviate some pressure in the production system.  Barrows and gilts at the National Daily Direct closed $.07 lower with a base range of $26 to $32 for a weighted average of $29.99; the Iowa/Minnesota closed $.66 lower for a weighted average of $29.88; the Western Corn Belt closed $.68 lower for a weighted average of $29.87; the Eastern Corn Belt had no comparison but a weighted average of $30.58.

This week’s Feeder Pig Report has early-weaned and all feeder pigs $.50 to $1 per head lower.  The USDA says demand was light for heavy offerings and receipts included 51 percent formulated prices.  The Total Composite formula range is $9.09 to $40.50 for an average of $25.80.  The Total Composite cash range if $.25 to $13.50 for an average of $5.01.  The Weight Average for all early-weaned pigs was $16.20 and the weighted average for all feeder pigs was $13.65. 

Butcher hog prices at the Midwest cash markets are steady at $20.  At Illinois, slaughter sow prices were steady, with moderate to good demand for moderate to heavy offerings at $9 to $20.  Barrow and gilt prices were $2 higher, with moderate to good demand for moderate to heavy offerings at $14 to $22.  Boars ranged from $2 to $5.

Pork values closed higher – up $1.83 at $68.95.  Hams and picnics were sharply higher.  Butts and loins were higher.  Ribs and bellies were sharply lower. Estimated hog slaughter is 466,000 head – up 290,000 on the week and up 6,000 on the year.  Saturday’s estimated kill is 283,000 head – up 244,000 on the year.