GENERAL COMMENTS:
Thus far, it's been a mostly uneventful day for the livestock complex as traders are hanging back, waiting to see what develops fundamentally at this point before they do much more throughout the futures complex. A single bid of $290 has been offered in Nebraska, but no feedlots have jumped at its showing. December corn is down 4 cents per bushel and December soybean meal is down $3.70. The Dow Jones Industrial Average is up 49.27 points.
LIVE CATTLE:
The live cattle complex is still trading mildly lower as traders patiently wait to see if anything eventful develops in Wednesday's cash cattle market. It is encouraging to note that midday boxed beef prices are mixed as opposed to fully lower as packers need to continue to see adequate beef demand if they're going to continue to stay active in the cash market and keep chain speeds running where they are. A single bid of $290 is currently being offered in Nebraska, but no cattle have yet to trade. Asking prices in the South are noted at $181 to $182, and in the North at $292 to $294 dressed. October live cattle are down $0.55 at $180.92, December live cattle are down $1.10 at $184.77 and February live cattle are down $0.97 at $188.80.
Boxed beef prices are mixed: choice up $1.25 ($315.61) and select down $0.14 ($289.54) with a movement of 61 loads (37.11 loads of choice, 16.34 loads of select, zero loads of trim and 7.84 loads of ground beef).
FEEDER CATTLE:
After two days earlier this week of stronger, higher trade, the feeder cattle complex is now trading lower as traders patiently look for followed through fundamental support, especially from the cash cattle market. Yes, corn prices are still trending lower, which is boding well for feeders, but traders are wanting to see something come to fruition fundamentally this week in order to justify continuing to trade the complex at these price points. September feeders are down $1.17 at $252.85, October feeders are down $1.07 at $255.67 and November feeders are down $0.92 at $0.95 at $257.22.
LEAN HOGS:
The lean hog complex has had a change of heart as, Tuesday, the nearby contracts were pressured, but thus far throughout Wednesday's trade, the nearby contracts are trading higher while the market's deferred contracts now drift lower. October lean hogs are up $0.60 at $81.32, December lean hogs are up $0.22 at $73.05 and February lean hogs are up $0.20 at $77.17. The market's lower close Tuesday afternoon did allow for the spot October contract to back away from the resistance at $82.00, but its yet to be seen if Wednesday's complex will lend enough support to surpass that threshold.
The projected lean hog index for Aug. 29 is down $1.74 at $90.67, and the actual index for Aug. 28 is down $1.48 at $92.41. Hog prices on the Daily Direct Morning Hog Report average $80.49, ranging from $78.00 to $84.00 on 5,676 head with a five-day rolling average of $83.23. Pork cutouts total 180.78 loads with 142.94 loads of pork cuts and 37.84 loads of trim. Pork cutout values: down $0.26, $92.59.
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