Market News

Hog futures mixed, adjusting spreads

At the Chicago Mercantile Exchange, live cattle were mostly higher ahead of the week’s direct cash business.  Feeder cattle were lower, pressured by the higher move in corn.  October live cattle closed $.10 higher at $144.60 and December live cattle closed $.15 higher at $150.67.  September feeder cattle $1.90 lower at $182.45 and October feeder cattle closed $2.02 lower at $184.45.

There was a light direct cash cattle trade that took place on Tuesday.  Live deals at mostly $142, about sThere was a light to moderate direct cash cattle trade that took place on Tuesday.  Live deals at mostly $142, about steady with last week’s business.  The North was mostly quiet throughout the day with just a handful of dressed deals reported at $233, but totals are not near enough to establish a trend.  Asking prices will likely be restated around $145 live in the South. 

At the Tri-State Livestock Auction in Nebraska, compared to last week steers and heifers were both $4 to $20 higher.  The USDA says demand was good on a good selection offered.  Receipts were down on the week and up on the year.  Feeder supply included 58% steers and 4% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 353 to 397 pounds brought $262 to $282 pounds and feeder steers 450 to 487 pounds brought $222 to $244.  Medium and Large 1 feeder heifers 353 to 374 pounds brought $223 to $245 and feeder heifers 411 to 447 pounds brought $212 to $230.50.

Boxed beef closed mixed on light to moderate demand for moderate offerings.  Choice closed $1.72 lower at $262.80 and Select closed $.44 higher at $238.80.  The Choice/Select spread is $24.00. Estimated cattle slaughter 126,000 head, even on the week and up 6,000 on the year. 

Lean hog futures closed mixed, adjusting spreads.  October lean hogs closed $1.07 lower at $92.90 and December lean closed $.25 at $84.22. 

Cash hogs closed mostly lower with an enormous negotiated run.  Processors moved big numbers on Tuesday without having to bid up.  Demand for US pork on the global market and domestically has been strong at a time when supplies could be narrowing.  The industry continues to monitor the availability of market-ready hogs. Barrows and gilts at the National Daily Direct closed $.77 higher with a base range of $112.50 to $135 and a weighted average of $127.12; the Iowa/Minnesota closed $1.43 lower with a weighted average of $130.63; the Western Corn Belt closed $1.31 lower with a weighted average of $130.61; the Eastern Corn Belt closed $2.57 lower with a weighted average of $123.38.

Butcher hog prices at the Midwest cash markets are steady at $70. At Illinois, slaughter sow prices were $3 lower with moderate demand for moderate offerings at $67 to $79.  Barrows and gilts were steady with moderate demand for moderate offerings at $77 to $86.  Boars ranged from $45 to $55 and $10 to $20. 

Pork values closed sharply lower – down $12.53 at $105.08.  Bellies dropped more than $48.  Hams and picnics are sharply lower.  Loins are lower and ribs were weak. Estimated hog slaughter is 480,000 head, up 4,000 on the week and up 7,000 on the year.