Market News

Cattle, hog futures higher heading into Friday

There was a light to moderate direct cash cattle trade that took place on Thursday.  Northern dressed business was at mostly $292, $3 higher than the previous week’s weighted average basis in Nebraska.  Live deals in the North were at mostly $185, $3 higher than the previous week’s business.  Southern live deals were marked at $183 to $184, steady to $1 higher than Wednesday’s business and $1 to $2 higher than the prior week’s deals. While most of the week’s business has likely wrapped up, there could be a few scattered cleanup deals reported on Friday. 

At the Basset Livestock Auction in Nebraska, steers 850 to 900 pounds were $2 to $10 lower, and heifers 850 pounds were $5 lower.  This was the first showing of spring calves and there were several interested buyers in the building and online.  Receipts were up on the week and the year.  Feeder supply included 64% steers and 82% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 850 to 886 pounds brought $250.50 to $259.75 and feeder steers 959 to 998 pounds brought $243.50 to $248.50.  Medium and Large 1 feeder heifers 866 to 896 pounds brought $226.25 to $227.25 and feeder heifers 915 to 925 pounds brought $226 to $227.25. 

Boxed beef closed mixed on light to moderate demand for solid offerings.  Choice is $.91 higher at $301.19 and Select closed $.28 lower at $275.02.  The Choice/Select spread is $26.17.  Estimated cattle slaughter was 120,000 head – down 4,000 on the week and down 7,000 on the year. 

Lean hog futures were higher, supported by stronger pork values during the session. December lean hogs closed $.12 higher at $70.10 and February lean hogs closed $.35 higher at $75.02. 

Cash hogs closed lower with a fairly light negotiated run.  With near-term supplies of market-ready hogs more than ample, processors just don’t have to work really hard to move their needed numbers.  Prices have largely reflected that.  Demand has been solid on the global market, but continues to hit a little bit of a lull domestically.  That adds to the overall consistently inconsistent trend of the cash hog market. Barrows and gilts at the National Daily Direct were down $.69 with a base range of $68 to $76 and a weighted average of $73.61; the Iowa/Minnesota closed $1.07 lower with a weighted average of $73.76; the Western Corn Belt closed $.85 lower with a weighted average of $73.63; the Eastern Corn Belt had no comparison but a weighted average of $73.56.   

Butcher hog prices at the Midwest cash markets are steady at $55. At Illinois, slaughter sow prices were steady with moderate demand for moderate offerings at $20 to $31.  Barrows and gilts were steady with moderate demand for moderate offerings at $39 to $49.  Boars ranged from $18 to $21 and $5 to $10. 

Pork values closed lower – down $.25 at $92.14.  Picnics, bellis, and butts were lower.  Loins, ribs, and hams were all higher. Estimated hog slaughter was 485,000 head – up 4,000 on the week and down 7,000 on the year.