Market News

Direct cash cattle trade sluggish to begin week

Chicago Mercantile Exchange live cattle futures were mixed ahead of this week’s direct business, while feeders were up on the lower corn. The USDA’s semi-annual Cattle Inventory and monthly Cattle on Feed reports are out Friday. August live was down $.05 at $180.12 and October was $.37 lower at $182.25. August feeders were up $2.60 at $249.25 and September was $2.20 higher at $251.42.

All was quiet in direct cash cattle country Monday afternoon. New showlists appear to be mixed, somewhat higher in Nebraska/Colorado, somewhat lower in Kansas, and lower in Texas. Bids and asking prices have yet to be established. Significant trade volume is likely to be delayed until the second half of the week.

Oklahoma Weekly Cattle Auction Summary data says compared to the previous week, feeder steers and heifers were $4 to $10 higher last week. Demand was very good for feeder cattle, and it remains positive for all classes of cows. The state’s feeder supply included 56% steers and 61% of the offering was over 600 pounds. Medium and Large 1 Feeder Steers 551 to 599 pounds brought $234 to $294 and feeder steers 801 to 844 pounds brought $221 to $245.75.

Boxed beef was mixed at Monday’s close. Choice was $.84 higher at $306.78 and Select was down $.87 at $275.74.

Estimated cattle slaughter was 126,000 head – up 4,000 on the week and up 2,000 on the year.

Lean hog futures were down on technical selling and overbought signals. August was $1.42 lower at $94.77 and October was down $1.27 at $82.32.

Cash hogs closed steady to higher with a moderate negotiated run for the major direct markets. Buyers have started the week on a quiet note, apparently in need of some near-term supplies, but with questions about how the rest of the week’s trade will proceed. The wholesale market is showing some signs of topping out after the recent strength.

Barrows and gilts at the National Daily Direct were $2.09 higher with a base range of $95 to $104 and weighted average of $102. The Iowa/Minnesota has no comparison but a weighted average of $103.06. The Western Corn Belt was $1.80 higher with a weighted average of $102.71. The Eastern Corn Belt was not reported due to confidentiality.

Butcher hog prices in Dorchester, Wisconsin were trending at $66 with no comparison. The Garnavillo, Iowa markets were closed on Monday.  At Illinois, slaughter sow prices are $2 higher with moderate demand for heavy offerings at $33 to $42. Barrows and gilts are $2 higher with moderate demand for moderate offerings at $54 to $64. Boars were $15 to $25 and $5 to $10.

Pork values closed lower – down $2.79 at $112.76. Loins, butts, ribs, and hams were lower. Bellies, and picnics were higher.

Estimated hog slaughter was 449,000 head – down 11,000 on the week and down 1,000 on the year.