GENERAL COMMENTS:
Feeder cattle and lean hog contracts closed far lower than the live cattle contracts did. A Monday fluke, lower cash cattle or questions about Iran could all be factors putting the market in an early week slump. Hog prices are higher on the National Direct Afternoon Hog Report, up $0.13 with a weighted average of $50.55. March corn is up 3 3/4 cents per bushel and March soybean meal is up $0.30. The Dow Jones Industrial Average is up 83.28 points and NASDAQ is up 95.07 points.
LIVE CATTLE:
Live cattle contracts by no means were left alone from Monday's wake, but the live cattle contracts did fare the best. February live cattle are down $0.87 at $126.55, April live cattle are down $0.42 at $127.52 and June live cattle are down $0.27 at $119.50. Monday could be summarized as a day the market took a rest from its progressive trends or it could be trading lower in respect to not knowing what's happening with Iran. Either way, the market traded simultaneously lower through all three sectors which doesn't come as huge surprise after a weaker cash cattle trade.
Boxed beef prices are higher: choice up $0.51 ($210.55) and select up $1.68 ($208.23) with a movement of 118 loads (60.99 loads of choice, 13.34 loads of select, 7.24 loads of trim and 36.46 loads of ground beef). Monday's slaughter is estimated at 121,000 head, steady with a week ago and 2,000 head more than a year ago.
TUESDAY'S CASH CATTLE CALL: Steady. It's a far stretch to think that cattle will start to trade hands as early as Tuesday. Some cattle trade Monday afternoon in Iowa for $2.00 -- mostly clean up in nature. As the week plays on and as the board has time to find common ground, the cards of this week will be unveiled.
FEEDER CATTLE:
Taking the biggest losses on Monday, feeder cattle contracts dive lower with the most losses seen in the nearby contracts, though deferred contracts still traded notably lower. January feeders are down $1.57 at $146.02, March feeders closed $1.60 lower at $145.85 and April feeders closed $1.25 lower at $148.80. At Eastern Missouri Commission Company in Bowling Green, Missouri, last Friday feeder steers weighing 550 to 650 pounds sold mostly $5.00 to $10.00 higher, feeders over 650 pounds sold with a higher undertone. Feeder heifers under 600 pounds sold mostly steady. The CME feeder cattle index 1/10/2020: $146.46, down $0.35.
LEAN HOGS:
Monday typically is a good day for cattle contracts and a tough day for the lean hog sector. It wouldn't be surprising to see lean hogs and the rest of the complex cautious until after the phase one trade agreement signing. Considering the current world chaos with Iran, it wouldn't be out of the norm for markets to be idle and in a waiting-hold until the air clears from recent events. February lean hogs closed $1.35 lower at $65.90, April lean hogs closed $0.75 lower at $73.37 and May lean hogs closed $1.00 lower at $79.72. Pork cutouts totaled 319.30 loads with 275.87 loads of pork cuts and 43.43 loads of trim. Pork cutout prices: up $1.74, $74.24. Monday's hog slaughter is estimated at 498,000 head - 1,000 head more than a week ago and 37,000 head more than a year ago. The CME lean hog index 1/9/2020: $59.36, down $0.20.
TUESDAY'S CASH HOG CALL: Steady. Pork cutouts were higher both times Monday, but thinking the cash market will jump up and down before Wednesday is a far stretch. The safer route of steady is most likely.
 |
| #completecalfcare |
No comments:
Post a Comment