Friday, May 3, 2024

Friday Midday Livestock Market Summary - Southern Feedlots Hold Out for More Money

GENERAL COMMENTS:

Both the live cattle and feeder cattle markets are trading higher as the cash cattle market's higher trend is encouraging to the entire cattle complex. Southern cattle have yet to trade, but feedlots seem determined to get more money again this week. July corn is down 1 cent per bushel and July soybean meal is up $3.30. The Dow Jones Industrial Average is up 436.46 points.

LIVE CATTLE:

With cash cattle prices trending higher and midday boxed beef prices higher -- it wasn't hard for traders to decide to trade the live cattle contracts higher. The Southern Plains still hasn't seen any cattle trade, but bids are currently being offered. Bids of $184 are currently being offered in both Texas and Kansas, but with feedlots firm in their $186 asking price -- packers are going to need to get more aggressive in order to get any cattle bought. There were some cattle traded on Thursday in the North at $295, which is $1.00 higher than last week's weighted average, but now Northern feedlots have upped their asking price to $296. June live cattle are up $0.20 at $177.00, August live cattle are up $0.87 at $174.82 and October live cattle are up $1.00 at $178.37.

Boxed beef prices are higher: choice up $2.02 ($294.92) and select up $0.51 ($288.49) with a movement of 59 loads (28.04 loads of choice, 10.64 loads of select, 7.51 loads of trim and 12.79 loads of ground beef).

FEEDER CATTLE:

With the cash cattle market again seeing higher prices -- the feeder cattle complex is trading mostly higher into Friday's afternoon. With the big summertime videos scheduled to begin in about six weeks, feeders find it very encouraging that cash cattle prices are trending higher which could trickle down and support upcoming feeder cattle sales. May feeders are up $0.15 at $243.75, August feeders are down $0.02 at $255.20 and September feeders are up $0.27 at $256.25.

LEAN HOGS:

The lean hog complex is once again trading lower as the market can't seem to gain momentum. Yes, midday pork cutout values are higher, but traders seem unwilling to support the complex ahead of the week's close. Next Friday the market will receive the latest WASDE report which could help shine light onto the lean hog market's immediate direction as both production and export forecasts will be shared for the upcoming months. June lean hogs are down $0.70 at $99.22, July lean hogs are down $0.50 at $103.05 and August lean hogs are down $0.42 at $101.77.

The projected lean hog index for 5/2/2024 is up $0.04 at $90.96, and the actual index for 5/1/2024 is up $0.32 at $90.92. Hog prices are higher on the Daily Direct Morning Hog Report, up $1.10 with a weighted average price of $90.53, ranging from $87.50 to $95.00 on 1,538 head and a five-day rolling average of $90.69. Pork cutouts totaled 159.07 loads with 143.98 loads of pork cuts and 15.09 loads of trim. Pork cutout values: up $1.49, $99.37.




No comments:

Post a Comment