Market News

Midday cash livestock market

Direct cash cattle trade activity is improving at midday.  Bids have surfaced in the three main feeding areas at $113 and $114 live.  Asking prices are around $116 live in the South and not fully established out of the North.  We could see some business develop over the balance of the day, but it’s likely significant trade will be delayed until sometime Thursday or Friday.  Today’s Fed Cattle Exchange had an offering of 1,199 head, with 409 head sold for a weighted average of $114.25. 

Boxed beef is higher at midday on moderate demand for light to moderate offerings.  Choice is $.65 higher at $240.63 and Select is $1.10 higher at $231.08.  The Choice/Select spread is $9.55. 

At the Philip Livestock Auction in South Dakota, compared to two weeks ago feeder steers under 600 pounds were mostly steady and over 600 pounds were $3 to $7 higher with instances of $10 higher on 650 to 700 pounds steers.  Feeder heifers under 700 pounds were steady to $2 higher and over 700 pounds were $2 to $5 lower.  The USDA says there is very good demand for the large offering of high-quality feeder cattle.  There were many long strings which resulted in over 2-dozen full loads of steers and heifers and many outstanding quality replacement type heifers.  The market was very active, whether it was for the lightweight cattle suitable to background, feeding types, or replacement heifers as there were plenty of buyers eager to purchase cattle.  Receipts were down from two weeks ago, but on the year.  Feeder supply included 651 to 695 pounds brought $147 to $162.50 and feeder steers 707 to 749 pounds brought $140 to $153.  Medium and Large 1 feeder heifers 654 to 696 pounds brought $137.50 to $145.75 and feeder heifers 750 to 794 pounds brought $130.50 to $133.50. 

Cash hogs are sharply higher at midday with solid negotiated purchases.  Packers bid up to move larger numbers to start the day.  Strong demand expectations have been very supportive to prices.  While demand strength has the market optimistic, the heavy supplies are never far from the forefront of anyone’s mind.  The availability of market-ready barrows and gilts is more than ample and daily slaughter totals continue at high levels, contributing to increased pork on the market.  Hog weights dropped slightly this week to 286.8 pounds, that’s down 0.4 pounds from a week ago, but 1.2 pounds above last year’s levels.  Barrows and gilts at National Daily Direct are $4.60 higher with a base range of $68 to $76 and a weighted average of $74.06.  The Eastern Corn Belt had no comparison but a weighted average of $73.50.  Prices at the Iowa/Minnesota and the Western Corn Belt were not reported due to confidentiality. 

Butcher hog prices at the Midwest cash markets are steady at $48. 

Pork values are sharply higher – up $2.56 at $95.31.  Hams and picnics were sharply higher.