Market News

Cattle futures shrug off cash, wholesale trade

At the Chicago Mercantile Exchange, live and feeder cattle futures were higher with feeders in the lead on the lower move in corn, getting ready for Friday’s USDA Cattle on Feed report. That strength in feeders helped both pits shrug off any bearish influence from the mixed midday beef or the week-to-date’s steady to lower direct business. June live was up $.75 at $164.35 and August was $.67 higher at $163.42. May feeders were $1.87 higher at $212.35 and August was up $2.75 at $229.52.

Direct cash cattle trade was light across parts of Nebraska and Colorado Thursday with dressed deals marked at $288, fully steady with Wednesday’s decline, but $2 lower than the prior week’s weighted average. Live sales in Colorado are $180, $2 lower than last week’s weighted average. Most asking prices remain firm around $176 to $177 in the South, and $290-plus in the North.

At the Winter Livestock Auction in Dodge City, Kansas, compared to last week, feeder steers 700 to 975 pounds sold steady to $2 higher with the most advance on thin fleshed steers.  Steer calves 400 to 700 pounds sold $5 to $6 lower.  Feeder heifers 600 to 850 pounds sold steady to $3 higher with the most advance on thin fleshed heifers.  Heifer calves 400 to 700 pounds sold $5 to $6 lower.  The USDA says demand was good on feeder cattle and moderate on calves.  Receipts were up on the week and year.  78 percent of the supply included feeder cattle with 86 percent of the supply over 600 pounds.  Medium and Large 1 Feeder Steers 661 to 699 pounds brought $215 to $218 and feeder steers 704 to 748 pounds brought $210.50 to $216.50.  Medium and Large 1 Feeder heifers 502 to 540 pounds brought $193 to $202.50 and feeder heifers 750 to 783 pounds brought $176 to $186.

Boxed Beef cut outs closed mixed with Choice $1.07 higher and Select $2.72 lower.  The Choice/Select spread is $18.25.

Estimated cattle slaughter is 128,000, up 3,000 on the week and 7,000 on the year.

Lean hog futures were pressured by the steady to lower cash during the session and long-term pork demand questions. May was down $1.95 at $76.82 and June was $1.35 lower at $85.07.

Cash hogs closed mixed.  Processors were slightly more aggressive on Thursday to move a few runs to meet their procurement efforts.  The weekly export sales report from USDA showed that meat sales were up on the week with Mexico the top slot for Pork.  Theirs is still some industry concern that a slowing global economy could impact demand for US pork.

Barrows and gilts at the National Daily Direct closed $.75 lower with a base range of $61 to $69 with a weighted average price of $66.92; Iowa/Southern Minnesota closed $.05 higher with a weighted average price of $68.49; Western Cornbelt closed $.06 higher with a weighted average price of $86.47; the Eastern Corn Belt did not report due to confidentiality reasons.

Pork Values closed $1.34 higher with loins, butts, picnics ribs higher and bellies $7.22 sharply higher.  Hams were lower.

Estimated hog slaughter is 483,000, down 1,000 on the week and 3,000 on the year.