Chicago Mercantile Exchange – Cattle futures exhibited mixed performance at the Chicago Mercantile Exchange, with live cattle mostly higher while feeder cattle declined due to rising corn prices. The October live cattle contract ended 37 cents lower at $177.65, and the December contract fell 10 cents to $178.50. Conversely, the October feeder cattle contract dropped 62 cents to $239.12, and the November feeder cattle contract decreased 27 cents to $235.20.
On Friday, direct cash cattle trading remained relatively light. In Nebraska, dressed cattle were priced at $288, consistent with the previous week’s weighted average. Similarly, in the South, live cattle traded mostly at $181, matching the prior week’s levels.
At the Winter Livestock Auction in Kansas, feeder steers weighing 600 to 975 pounds were steady to $4 higher, with seven-weight steers increasing by up to $10. Feeder heifers in the 600 to 900-pound range also saw gains of up to $4. However, steers and heifer calves under 600 pounds were not extensively tested. The USDA reported good demand, though receipts were down compared to both the previous week and the previous year. The feeder supply included 24% steers, with 92% of offerings over 600 pounds. Prices for Medium and Large 1 feeder steers ranged from $245 to $257.50 for those weighing 662 to 685 pounds and from $235 to $248.75 for those weighing 777 to 787 pounds. Medium and Large 1 feeder heifers ranged from $225 to $240.75 for those weighing 702 to 783 pounds and from $215.50 to $233.50 for those weighing 811 to 843 pounds.
In Iowa, hay offerings increased from the last sale. Premium alfalfa large rounds were priced at $80, while medium squares sold for $110. Small squares of alfalfa were priced at $8.50. Alfalfa/Grass mix, premium large squares fetched $190 delivered and $150 F.O.B., with medium squares priced between $250 and $260. Alfalfa/Grass mix large rounds were priced at $85, while small squares were $6.50. Alfalfa/Grass Mix, good, small squares sold for $5.50, and good grome grass large rounds were $115. Grass hay, premium, small squares were priced at $7 per bale.
Boxed beef prices declined due to light demand for solid offerings. Choice beef fell by $2.27 to $304.91, while Select beef dropped $1.47 to $294.17, widening the Choice/Select spread to $10.74. Estimated cattle slaughter for the week totaled 118,000 head, a decrease of 5,000 from the previous week and 3,000 from the previous year. Saturday’s estimated kill stands at 17,000 head, down 26,000 from last year but up 8,000 from the previous year.
Lean Hog Futures Decline
Lean hog futures closed mostly lower, pressured by a decline in cash and wholesale business. October lean hogs ended 45 cents lower at $78.45, and December lean hogs fell 25 cents to $71.30.
Cash hog prices were mixed, reflecting a rather lackluster trading day. Despite decent-sized runs earlier in the week, processors operated at lower prices. The market is closely monitoring hog availability and weights, with global demand for U.S. pork providing some support. Barrows and gilts at the National Daily Direct were steady, ranging from $73 to $77, with a weighted average of $76. In Iowa/Minnesota, prices fell 54 cents to a weighted average of $76.07, while the Western Corn Belt saw a 7-cent increase to a weighted average of $76.04. Prices at the Eastern Corn Belt were not reported due to confidentiality.
The USDA’s Weekly Feeder Pig report noted a $3 increase in the price of early-weaned pigs, while feeder pig prices remained steady. The weighted average for early-weaned pigs was $38.64, and for all feeder pigs, it was $55.08.
Midwest cash markets saw steady butcher hog prices at $60. In Illinois, slaughter sow prices held steady with moderate demand, ranging from $53 to $65. Barrows and gilts were steady at $45 to $55, with moderate demand. Boar prices ranged from $18 to $28 and $8 to $15.
Pork values closed weaker, down 28 cents to $93.90, with bellies, loins, and butts lower, while hams, ribs, and picnics saw gains. Estimated hog slaughter for the week was 480,000 head, down 2,000 from the previous week but up 3,500 from the previous year. Saturday’s estimated kill is 155,000 head, down 240,000 from the previous year but up 4,000 from the previous year.
