Uncover the Shifts in Cash Livestock Markets

Cattle Futures at the Chicago Mercantile Exchange

Live and feeder cattle futures at the Chicago Mercantile Exchange showed a mixed picture. Cash business was lower, with sharp declines in wholesale transactions. A light round of direct cash cattle business took place on Thursday. In the South, live deals were at $185, $2 lower than the previous week's weighted averages. There were also some deals in Nebraska reported at the same price. Expect more business before the end of Friday. Boxed beef closed lower due to light demand for heavy offerings. Choice was $3.14 lower at $303.80 and Select closed $2 lower at $276.66, with a Choice/Select spread of $27.14.

At the Mobridge Livestock Exchange, steers in different weight ranges had varying trends. Steers 400 to 499 pounds were $10 lower, 500 to 549 pounds were mostly steady, and 550 to 599 pounds were $5 to $8 lower. Heifers also saw declines, with 450 to 499 pounds down $4 to $6 and 550 to 599 pounds down $8 to $10. The USDA reported good to very good demand for calves, but quality varied from plain to attractive. Receipts were down on a weekly and yearly basis. Feeder supply consisted of 70% steers and only 12% over 600 pounds. Medium and Large 1 feeder steers 501 to 531 pounds brought $320 to $346, and feeder steers 554 to 594 pounds brought $303 to $321. Medium and Large 1 feeder heifers 452 to 496 pounds brought $300 to $322.50, and feeder heifers 553 to 592 pounds brought $270 to $287.

Hog Futures and Cash Markets

Lean hog futures ended the day lower, pressured by sharply lower wholesale and cash business. Cash hogs closed lower with a fairly light negotiated run. Demand for U.S. pork on the global market has been relatively strong, providing significant price support. However, the industry is closely monitoring the availability of market-ready hogs as supplies are tighter than expected. Domestic demand has been inconsistent. Hog weights have declined from year-ago levels. Barrows and gilts at the National Daily Direct closed $2.80 lower with a base range of $77 to $89 and a weighted average of $86.14. The Iowa/Minnesota closed $1.91 lower with a weighted average of $87.05, and the Western Corn Belt closed $2.16 lower with a weighted average of $86.80. Prices at the Eastern Corn Belt were not reported due to confidentiality. Butcher hog prices at the Midwest cash markets remained steady at $60. Pork values closed sharply lower, down $3.19 at $94.07. Bellies dropped more than $20, and ribs, hams, and butts were all lower. Loins were firm and picnics were sharply higher.