Cattle futures finish the week higher
Market News
Cattle futures finish the week higher
At the Chicago Mercantile Exchange, live and feeder cattle were higher, watching direct business develop. Boxed beef was also higher during the session. February live cattle closed $.55 higher at $190.65 and April lives closed $.75 higher at $193.35. January feeder cattle closed $2.07 higher at $261.37 and March feeder cattle closed $1.05 higher at $260.55.
It took all week for direct cash cattle business to develop. Live deals in the South were at $192, which is $1 higher the previous week’s weighted averages. Dressed deals in the North were marked at $307, $2 higher than the prior week’s weighted average basis in Nebraska.
In Nebraska, ahead of the holiday week, steers less than 600 pounds were $10 to $15 higher and steers over 600 pounds were steady to $2 higher. Heifers less than 700 pounds were steady to $6 higher and heifers over 700 pounds were steady to $5 higher. The USDA says demand was very good for steers suitable for summer grass with good demand for all other classes of feeders. Demand was good and in some cases very good for bred heifers and bred cows. Receipts were up from the previous week and on the year. Feeder supply included 62% steers and 53% of the offering was over 600 pounds. Medium and Large 1 feeder steers 400 to 546 pounds brought $335 to $394 and feeder steers 600 to 646 pounds brought $290 to $359. Medium and Large 1 feeder heifers 550 to 598 pounds brought $277 to $326 and feeder heifers 600 to 643 pounds brought $268 to $301.
Boxed beef closed higher on good demand for moderate offerings. Choice was $1.99 higher at $322.38 and Select closed $2.36 higher at $291.13. The Choice/Select spread is $31.25. Estimated cattle slaughter was 123,000 head – up 6,000 on the week and about even on the year. Saturday’s estimated kill is 36,000 head – up 21,000 on the week and up less than 1,000 on the year.
Lean hog futures ended the day mixed on spread trade with pork values higher during the session. February lean hogs closed $.05 lower at $84.15 and April lean hogs closed $.27 higher at $89.52.
Cash hog closed lower with a light negotiated run. The holiday-shortened week definitely impacted this week’s business. Export sales are in that period of seasonal slowdowns, and dropped significantly this past week. But, overall demand for U.S. pork on the global market has been strong, and that does help provide price support. The industry continues to monitor the availability of market-ready hogs and hog weights. Barrows and gilts at the National Daily Direct closed $1.81 lower with a base range of $70 to $79 and a weighted average of $77.27; the Iowa/Minnesota closed $.95 lower with a weighted average of $78.41; the Western Corn Belt closed $1.12 lower with a weighted average of $78.19. Prices at the Eastern Corn Belt were not reported due to confidentiality.
At Illinois, slaughter sow prices were steady with moderate demand for light offerings at $32 to $44. Barrows and gilts were $2 lower with moderate demand for moderate offerings at $46 to $56. Boars ranged from $20t o $30 and $15 to $25.
Pork values closed lower – down $.62 at $95.07. Picnics, loins, and butts were all lower. Bellies, ribs, and hams were higher. Estimated hog slaughter was 487,000 head – up 4,000 on the week and up more than 8,000 on the year. Saturday’s estimated kill is 413,000 head – up 265,000 on the week and up about 92,000 on the year.
