Wednesday's trade wasn't favorable for the livestock sector as the live cattle and lean hog markets still closed lower. Following Monday's drastic downward nosedive, the feeder cattle complex was able to close higher as traders saw an opportunity to invest. Hog prices closed higher on the National Direct Afternoon Hog Report, up $1.38 with a weighted average of $63.22 on 10,347 head. December corn is up 5 cents per bushel and December soybean meal is up $6.90. The Dow Jones Industrial Average is down 97.97 points and NASDAQ is down 31.80 points.
LIVE CATTLE:
As Wednesday rounded the corner and traded into the afternoon, the market's support dwindled and left the complex to close mostly lower. October live cattle closed $0.47 lower at $103.65, December live cattle closed $0.87 lower at $104.57 and February live cattle closed $0.57 lower at $108.07. Wednesday's boxed beef movement was robust again as over 207 loads were moved, but boxed beef prices took another dip lower to softer price levels. Heading into the later part of 2020, beef prices should see an uptick in prices as some holiday buying occurs. Wednesday's cash cattle trade was another light round of prices steady with the week's regression. Northern cattle are selling for $163 to $164 dressed ($3.00 lower than last week's trade) and southern cattle are selling lightly at $106 ($2.00 lower than last week's business). Wednesday's slaughter is estimated at 121,000 head, 2,000 head more than a week ago and year ago.
Boxed beef prices closed lower: choice down $2.13 ($208.47) and select down $0.76 ($190.91) with a movement of 207 loads (104.06 loads of choice, 33.57 loads of select, 31.02 loads of trim and 37.89 loads of ground beef).
THURSDAY'S CASH CATTLE CALL: Steady with the week's trade. As cattle have sold in both the Northern and Southern Plains, steady prices with the rest of the week's business are most believable as the week has been pressured.
FEEDER CATTLE:
Thankfully Wednesday's feeder cattle market was able to regain some positioning despite corn prices continuing to scale higher. October feeder cattle closed $0.10 lower at $134.40, November feeder cattle closed $0.37 higher at $131.15 and January feeder cattle closed $0.37 higher at $127.07. For cow/calf producers gearing up to sell their calves in the next upcoming weeks, the marketplace remains extremely vulnerable. At OKC West in El Reno, Oklahoma, compared to a week ago, steer steers traded mostly $8.00 to $10.00 lower. Feeder heifers sold $4.00 to $8.00 lower and cattle that were short-weaned sold sharply lower with little to no interest. Steer calves sold $1.00 to $6.00 lower, but there was a steady undertone noticed on long-weaned calves that had several rounds of shots. Heifer calves sold $3.00 to $8.00 lower. The CME feeder cattle index For Oct. 20: down $0.30, $138.36.
LEAN HOGS:
The lean hog market closed mostly lower with nearby contracts receiving the sharpest losses. December lean hogs closed $0.05 lower at $69.20, February lean hogs closed $0.82 lower at $68.45 and April lean hogs closed $0.60 lower at $70.80. Even though the futures market closed lower, the cash market and pork cutout value closed higher yielding stronger fundamentals for the marketplace. Cash prices rallied over $1.00 higher on more than 10,000 head and cutout values closed $1.25 stronger once again reminding the market that domestic demand is strong. As Thursday's business nears, the market is anxious (once again) for a strong export report and will be subject to emotional trading based on its findings. Pork cutouts totaled 309.68 loads with 266.94 loads of pork cuts and 42.74 loads of trim. Pork cutout values: up $1.25, $98.16. Wednesday's hog slaughter is estimated at 492,000 head, 3,000 head more than a week ago and 1,000 head less than a year ago. The CME lean hog index for Oct. 19: up $0.35, $78.62.
THURSDAY'S CASH HOG CALL: Steady. Thursday's export report could greatly sway the marketplace. If higher demand is seen, cash prices could rally again, but if weaker demand is reported, the market could trade in a disappointed fashion.
 |
| #completeherdhealth |
No comments:
Post a Comment