Market News

Live cattle lower heading into Friday

At the Chicago Mercantile Exchange, live cattle were lower, and feeders were mostly higher waiting for cash business to develop.  April live cattle closed $.07 lower at $163.62 and June live cattle closed $.25 lower at $159.52.  March feeder cattle closed $.37 higher at $186.82 and April feeders were unchanged at $190.72. 

A light direct cash cattle trade developed late in the day Thursday. Deals in the North were marked at $254 dressed, $4 higher than last week’s weighted average basis in Nebraska.  The rest of cattle country was quiet.   Asking prices will likely be restated at $161 to $162 live in the South and $254 to $256 dressed in the North. 

At the Huss Livestock Market in Nebraska, steers were $2 to $4 higher, and heifers sold steady to $5 higher.  The USDA says demand was good for the solid offering.  Receipts were down on the week and up on the year.  Feeder supply included 49% steers and 85% of the offering was over 600 pounds.  Medium and Large 1 feeder steers 708 to 749 pounds brought $186 to $196.25 and feeder steers 850 to 895 pounds brought $176.50 to $184.75.  Medium and Large 1 feeder heifers 700 to 749 pounds brought $166.25 to $175 and feeder heifers 756 to 789 pounds brought $168.25 to $176.50. 

Boxed beef closed higher on solid demand for fairly light offerings.  Choice was $2.09 higher at $269.29 and Select closed $.85 higher at $254.01.  The Choice/Select spread is $15.28. Estimated cattle slaughter was 124,000 head – down 1,000 on the week and the year. 

Lean hog futures were lower on their premium to cash and a week-to-week decline in pork export sales.  April lean hogs closed $.75 lower at $83.32 and May lean hogs closed $.80 lower at $93.02. 

Cash hogs closed mixed with a solid negotiated run.  After Tuesday’s solid business and Wednesday’s big run at much higher prices, it’s no surprise packers backed off their procurement efforts.  But they did start the day more aggressive, and prices reflected that. Demand has remained relatively strong, and as long as that continues it should help provide continued price support to the market.  The industry also continues to monitor the availability of market-ready hogs. Barrows and gilts at the National Daily Direct closed $.26 lower with a base range of $66 to $80 and a weighted average of $77.33; the Iowa/Minnesota closed $.33 higher with a weighted average of $78.79; the Western Corn Belt closed $.16 higher with a weighted average of $78.57; the Eastern Corn Belt had no comparison but a weighted average of $75.94. 

Butcher hogs at the Midwest cash markets are steady at $66. At Illinois, slaughter sows were $2 higher with moderate demand for moderate offerings at $32 to $4.  Barrows and gilts were steady with moderate demand for moderate offerings.  Boars ranged from $15 to $20 and $10 to $13. 

Pork values closed higher – up $1.10 at $80.39.  Bellies and ribs were sharply higher.  Butts and loins were higher.  Picnics and hams were lower. Estimated hog slaughter was 483,000 head – down 7,000 on the week and up 9,000 on the year.