Market News

Cattle trade in all regions at lower prices

A light to moderate cattle trade was reported in most feeding areas on Wednesday at mostly 104.00, $3.00 lower. The North reported some dressed deals at 161.00 to 163.00, $4.00 to 6.00 lower than last week. It is possible trade could essentially be done for the week in the South, but there is expected to be more trade in the North, but that could be delayed until Thursday or later. The kill totaled 114,000 head, even with a week ago, but 2,000 less than last year.

Boxed beef cutout values were sharply higher on the choice and firm on select on light to moderate demand and moderate offerings. Choice beef 190.75, up 2.53, select 179.94, up .36.

Live cattle contacts on the Chicago Mercantile Exchange settled mostly .07 to .50 higher with only October down by .35. Sharp early losses developed in the live complex Wednesday, but selling pressure was short lived as buyer support swept into the market. This brought some needed stability back into the complex. Sharply higher choice boxed beef at midday was supportive.

Feeder cattle ended the session .35 to 1.45 higher as triple digit gains developed in the nearby contracts. Although the market remained still well undersold the break away from early market losses which developed at the opening bell created new market support, and commercial interest through the entire complex.

Feeder cattle receipts at the Ozarks Regional Stockyards at West Plains, Missouri on Tuesday totaled 2,773 head. Compared to last week, feeder steers traded 4.00 to 7.00 lower while heifers were 2.00 to 4.00 lower. The demand was light on a moderate supply. With nighttime temperatures dipping into the 40s, buyers showed little interest in un-weaned calves, and with cattle futures limit down there was not a whole lot of interest in anything else. Feeder steers medium and large 1 averaging 818 pounds traded at 127.41 per hundredweight. Heifers averaging 510 pounds brought 124.96.

Lean hogs settled.50 higher to .10 lower with many contracts finishing unchanged. Pressure continued due to the lack of strong support in pork values and the cash hog market.

There was an active hog market with good demand on Wednesday. Barrows and gilts in the Iowa/Minnesota direct trade were down .64 at 49.69, the West was .59 lower at 49.67 weighted average on a carcass basis, and nationally the market was .41 lower at 49.55. Missouri direct base carcass meat price closed steady to 1.00 lower from 45.00 to 47.00. Midwest hogs on a live basis ended the day steady from 29.00 to 36.00.

The pork carcass cutout value was down 2.40 at 75.17 FOB plant.

The Wednesday hog kill was estimated at 440,000 head, 2,000 more than last week, and 13,000 greater than 2015.