Market News

Cattle showlists are about steady

The new cattle showlists were collected on Monday and the midmonth offering appears to be about steady with last week, with the Nebraska number some lower and ready numbers in Colorado and Texas somewhat larger. Asking prices are not established at this point and significant trade volume may not develop until the second half of the week. The cattle slaughter was estimated at 114,000 head, 3,000 more than last week, and 8,000 greater than a year ago.

Boxed beef cutout values closed weak on choice and steady on select on light to moderate demand and offerings. Choice beef 183.92, down .70, select .01 higher at 169.72.

Chicago Mercantile Exchange live cattle contracts settled .10 lower to .27 higher after hitting gains of 1.00 at midday. But the market was unable to hold those gains through the close and ended in a narrow mixed range.

Feeder cattle contracts ended .30 to 1.30 higher as triple digit gains developed in the morning trade but ended off the highs of the day. Traders continued to look for increased support in both live and feeder cattle markets.

Feeder cattle receipts at the Oklahoma National Stockyards on Monday totaled 9,000 head. Compared to last week feeder steers were steady to 5.00 higher. Feeder heifers were 2.00 to 6.00 higher. The demand was good for feeder cattle. Steer and heifer calves were 2.00 to 8.00 higher, steer calves over 600 pounds steady to 2.00 higher. Demand continues to be quite good for 60 day weaned calves. 600 to 650 pound steers brought 124.00 to 135.00 per hundredweight. 600 to 650 pound heifers ranged from 120.00 to 127.00.

Lean hogs settled .22 to .85 lower as moderate pressure held, but traders backed away from triple digit losses based on additional volume stepping back into the market. Firming cash values in the Iowa/Minnesota morning report helped to stabilize the futures trade although the underlying tone of the complex remained unstable.

Barrows and gilts in the Iowa/Minnesota direct trade closed .10 lower at 41.05 weighted average on a carcass basis, the west was down .39 at 40.85, and nationally the market was .43 lower at 40.76. Missouri direct base carcass meat price closed steady from 36.00 to 37.00. Midwest hogs on a live basis were steady from 22.00 to 30.00.

The pork carcass cutout value ended the day .56 higher at 74.66 FOB plant.

Seasonal support in the hogs is expected to develop during the next six weeks. Even though turkey continues to be the main course on many holiday tables, ham will remain very supportive given the price levels and availability to the market. This is expected to help drive demand for pork products through the holiday season.

The Monday hog kill is estimated at 442,000 head, 1,000 less than last week, and 5,000 greater than last year.