GENERAL COMMENTS:
Cattle futures are having a sluggish Friday thus far, but the lean hog contracts are determined to round out the week on a positive note, especially after Thursday's wildly successful advancements in both the cash market and pork cutout value. The cash cattle market is seeing some light interest develop Friday morning as a bid of $182 is being offered in Nebraska, but it's looking like the bulk of the week's business could essentially be done with. May corn is up 11 cents per bushel and May soybean meal is up $8.90. The Dow Jones Industrial Average is down 135.36 points and NASDAQ is up 109.08 points.
LIVE CATTLE:
Live cattle futures are having another day of doggish, lower trade following Thursday's lower close. April live cattle are up $0.17 at $118.75, June live cattle are down $0.77 at $118.87 and August live cattle are down $1.05 at $117.97. The board may choose to continue its lower progression, but the countryside is seeing that packers are in need of cattle and willing to pay what the market demands. It was invigorating for the market to see stronger trade develop Thursday afternoon throughout the cash cattle market. Even though Friday's market has been mostly quiet, there is a packer offering $182 again in Nebraska. I hope this gust of renewed interest lights a spark in feedlot desire to move the cash cattle market stronger and that next week the market sees cash prices jump higher again.
Boxed beef prices are higher: choice up $1.48 ($230.09) and select up $2.00 ($220.11) with a movement of 72 loads (46.65 loads of choice, 5.09 loads of select, 5.14 loads of trim and 15.42 loads of ground beef).
FEEDER CATTLE:
The corn market and the feeder cattle contracts have been dancing opposite one another all week and, come Friday as the corn contracts dance higher, the feeder cattle contracts veer lower. March feeders are down $0.42 at $135.10, April feeders are down $2.27 at $139.15 and May feeders are down $2.20 at $144.42. With the weaker tone transpiring throughout the live cattle contracts, the feeder cattle contracts will most likely continue to follow suit. But that doesn't mean feeder cattle sales throughout the countryside will be gravely affected rounding out the week.
LEAN HOGS:
Lean hog futures are bouncing back mildly from Thursday's lower trade as the market fundamentals continued to prove demand for pork remains stellar. April lean hogs are up $0.32 at $94.62, June lean hogs are up $0.32 at $100.35 and July lean hogs are up $0.50 at $100.40. Yes, the morning's pork cutout value is down slightly and cash hog prices are lower, but given the astronomical advancements the pork cutout value made Thursday, it is not that surprising to see prices veering lower. In regard to packer acquisition of hogs, seeing that it's Friday and we are headed into the weekend and packers bought over 12,000 head Thursday simply means they don't have to be nearly as aggressive in Friday's market.
The projected CME Lean Hog Index for 3/17/2021 is up $0.68 at $91.24, and the actual index for 3/16/2021 is up $0.65 at $90.56. Hog prices are lower on the National Direct Morning Hog Report, down $2.10 with a weighted average of $85.83, ranging from $84.00 to $93.00 on 4,952 head and a five-day rolling average of $86.44. Pork cutouts total 226.97 loads with 200.43 loads of pork cuts and 26.54 loads of trim. Pork cutout values: down $1.80, $105.00.
No comments:
Post a Comment