Hog futures mixed on demand uncertainties
August 4, 2020 By Meghan Grebner Filed Under: Closing Futures / Livestock Briefs, Livestock, Livestock Markets, Livestock Markets, Market News, Market News
At the Chicago Mercantile Exchange, live cattle ended the day lower and feeder cattle were mostly lower ahead of this week’s widespread direct cash business. August live cattle closed $.75 lower at $102.27 and October live cattle closed $.80 lower at $107.47. August feeder cattle closed $.17 lower at $144.70 and September feeder cattle closed $.45 lower at $146.62.
A light to moderate direct cash cattle trade took place in Kansas on Tuesday. Deals were marked at $100 live, that’s $3 higher than last week’s weighted averages. The rest of cattle country, however, is quiet. Asking prices for cattle on showlists are at $100 to $102 live in the South and $165 dressed in the North. Look for trade activity to increase as the week progresses.
At the Tri-State Livestock auction in Nebraska, compared to last week, 900 pounds steers were $3 higher. The USDA says demand was good on all weights of cattle. Receipts were up on the week and the year. Feeder supply included 65 percent steers and 83 percent of the offering was over 600 pounds. Medium and Large 1 feeder steers 859 pounds brought $145.60 and feeder steers 918 to 925 pounds brought $136 to $136.25. Medium and Large 1 feeder heifers 608 pounds brought $154.50 and feeder heifers 659 to 690 pounds brought $141 to $142.75.
Boxed beef closed steady to weak with light to moderate demand for moderate offerings. Choice closed $.42 lower at $204.24 and Select closed $.05 higher at $190.45. Estimated cattle slaughter is 119,000 head – even on the week and down 2,000 on the year.
Lean hog futures closed mixed on the mixed cash trade and the overall demand uncertainties that continue to plague the market. August lean hogs closed $.17 lower at $49.70 and October lean hogs closed $.62 higher at $49.02.
Closing cash hog prices have been delayed due to packer submission problems. But at Midday prices were mixed. The industry continues to watch the supply and demand situation. The availability of market-ready hogs is more than ample, and processors are continuing to push daily slaughter totals higher, adding more pork to the market. With these big slaughter runs; packers are also starting to dig into that backlog of hogs in the production system. But there’s still a long way to go before processors are caught up. Demand uncertainty, both globally and domestically remain, and that’s troublesome for prices.
At midday, barrows and gilts at the National Daily Direct are $.37 lower at midday with a base range of $39 to $40 for a weighted average of $39.93 and the Western Corn Belt is $.35 higher at midday for a weighted average of $39.90. The Eastern Corn Belt and the Iowa Minnesota were not reported due to confidentiality.
Butcher hog prices at the Midwest cash markets are steady at $24. At Illinois, slaughter sow prices were steady with good demand for heavy offerings at $10 to $22. Barrow and gilt prices were weak with good demand for moderate to heavy offerings at $19 to $28. Boars ranged from $1 to $3.
Pork values closed lower – down $1.28 at $65.50. Bellies and picnics were sharply lower. Ribs, hams, and loins were all weak. Butts closed higher. Estimated hog slaughter is 474,000 head – down 1,000 on the week and even on the year.
Your email address will not be published.
Subscribe for our newsletter today and receive relevant news straight to your inbox!