Cattle futures lower waiting on direct business
At the Chicago Mercantile Exchange, live and feeder cattle were lower ahead of the week’s direct business and Friday’s On Feed numbers. October live cattle closed $.65 lower at $185.67 and December live cattle closed $.52 lower at $190.47. October feeder cattle closed $1.60 lower at $259.35 and November feeder cattle closed $.40 lower at $265.02.
It was another quiet day for direct cash cattle business. Bids were elusive. Asking prices were reported in the South at $186 live, but the North remained quiet. It’s likely significant trade volume is going to be delayed until sometime Thursday or Friday – especially with Cattle on Feed numbers coming out Friday afternoon.
At the Joplin Regional Stockyards in Missouri, feeder steers were $3 to $6 higher. Feeder heifers were $6 to $10 higher. The UDSA says supply was heavy with very good demand. Receipts were down slightly on the week and up on the year. Feeder supply included 50% steers and 64% of the offering was over 600 pounds. Medium and Large 1 feeder steers 600 to 646 pounds brought $268 to $288 and feeder steers 800 to 847 pounds brought $243 to $265. Medium and Large 1 feeder heifers 600 to 644 pounds brought $243 to $266 and feeder heifers 802 to 837 pounds brought $222 to $236.50.
Boxed beef was lower with light demand for solid offerings. Choice was $3.20 lower at $302.12 and Select was $1.63 lower at $281.78. The Choice/Select spread is $20.34. Estimated cattle slaughter was 127,000 head – even on the week and down 3,000 on the year.
Lean hog futures ended the day higher, with pork up at midday. October lean hogs closed $1.60 higher at $84.85 and December lean hogs closed $1.82 higher at $76.25.
Cash hogs closed mixed with a solid negotiated run. Processors have been able to easily move needed numbers without having to bid up. The sufficient supplies of market-ready hogs have helped with that. Demand has been relatively strong on the global market, but there are concerns domestic demand could hit a seasonal slump. The industry does have concerns about the long-term demand certainty in the market. Barrows and gilts at the National Daily Direct closed $.05 lower with a base range of $75 to $80 and a weighted average of $77.81; the Iowa/Minnesota is $.31 higher with a weighted average of $78.51; the Western Corn Belt closed $.26 higher with a weighted average of $78.40. Prices at the Eastern Corn Belt were not reported due to confidentiality.
Butcher hog prices at the Midwest Cash Markets are steady at $58. At Illinois, slaughter sow prices were steady with moderate demand for moderate offerings at $32 to $43. Barrows and gilts were steady with moderate demand for moderate offerings at $41 to $51. Boars brought $20 to $25 and $10 to $12.
Pork values closed firm – up $.17 at $101.13. Bellies, ribs, butts, and picnics were all higher. Hams and loins were lower. Estimated hog slaughter was 484,000 head – up 7,000 on the week and down 1,000 on the year.