Market News

Midday cash livestock markets

Direct cash cattle trade activity is pretty quiet following yesterday’s light to moderate business.  There have been a few bids floated at $184 to $187 dressed in Nebraska.  The rest of cattle country is at a standstill.  Northern dressed business was mostly at $187 yesterday, a $3 drop from the previous week’s weighted average basis in Nebraska.  Live deals were at $115, generally $5 lower than the previous week.  Asking prices for cattle left on showlists are at $117 plus in the South and $187 plus dressed in the North.  Today’s Fed Cattle Exchange had an offering of 755 head, 627 head sold for an average price of $115.25.  483 head are marked for 1 to 9-day delivery and 144 head are for 1 to 17-day delivery. 

Boxed beef is lower at midday on light demand for moderate to heavy offerings.  Choice is $1.15 lower at $206.32 and Select is $.88 lower at $199.02.  The Choice/Select spread is $7.30. 

At the Philip Livestock Auction in South Dakota, compared to two weeks ago feeder steers 600 to 650 pounds were steady to $4 lower, steers 650 to 800 pounds were steady to $2 lower, steers 800 to 850 pounds were $4 to $5 lower.  Feeder heifers under 500 pounds were $5 higher and 500 to 750 pounds were steady to $2 lower.  The USDA says demand was very good for several long strings and many load lots of feeder steers, feeder heifers, and replacement heifers.  All sold on an active to very active market.  Much of the offering carried light to moderate flesh.  Receipts were down on the week and the year.  Feeder supply included 56 percent steers and 89 percent of the offering was over 600 pounds.  Medium and Large 1 feeder steers 650 to 690 pounds brought $145.50 to $158.25 and feeder steers 759 to 780 pounds brought $136 to $145.25.  Medium and Large 1 feeder heifers 612 to 639 pounds brought $146.25 to $147 and feeder heifers 651 to 685 pounds brought $135 to $141. 

Cash hogs opened mixed with moderate negotiated numbers.  The uncertainty surrounding the supply and demand picture is the driving force behind the current market situation.  The cash hog market is struggling to find its footing and demand uncertainties persist.  There is concern the coronavirus outbreak has significantly impacted demand.  While the industry is still hopeful demand for US pork will see a boost on the global market, it’s bracing for increased competition for the Chinese market from Brazil.  Domestic demand has remained relatively solid and that’s a necessity right now as the supplies of pork are projected to continue to grow.  Hog weights increased slightly this week to 285.3 pounds, up .3 from last week and down a tenth of a pound from last year.  Barrows and gilts at the National Daily Direct opened $.35 higher with a base range of $45 to $51 for a weighted average of $49.95; the Iowa/Minnesota opened $.15 lower for a weighted average of $49.40; the Western Corn Belt is $.33 lower for a weighted average of $49.22.  The Eastern Corn Belt was not reported due to confidentiality. 

Butcher hog prices at the Midwest cash markets are $1 higher at $31.  At Illinois, slaughter sow prices were firm with good demand for moderate offerings at $17 to $26.  Barrow and gilt prices were steady with moderate demand for moderate offerings at $27 to $35.  Boars range from $5 to $13. 

Pork values are lower at midday – down $1.27 at $64.70.  Loins dropped $4.29 this morning.  Butts and ribs are weak.  Picnics and bellies are steady.  Hams are firm.