GENERAL COMMENTS:
It was a quiet day for the livestock complex with not much excitement developing fundamentally or technically for the cattle or hog complexes. Hog prices are unavailable on the Daily Direct Afternoon Hog Report because of confidentiality. However, we were able to see that only 1,020 head traded throughout the day and that the market's five-day rolling average now sits at $87.49. July corn is down 6 1/4 cents per bushel and July soybean meal is down $8.10. The Dow Jones Industrial Average is up 188.94 points.
LIVE CATTLE:
The live cattle complex ended the day mixed as traders are scratching their heads, wondering where this week's market is going to go following last week's incredible trade. June live cattle closed $0.22 higher at $187.05, August live cattle closed $0.37 lower at $182.80 and October live cattle closed $0.22 lower at $184.62. It's still too early in the week for any cash cattle sales to have developed, and it's likely that trade will be delayed until Thursday or Friday. Please note that there will also be another Cattle on Feed report released Friday afternoon. Monday's slaughter is estimated at 119,000 head -- 2,000 head less than a week ago and 3,000 head less than a year ago. New showlists are higher in all major feeding areas somewhat higher in Kansas, but much higher in Texas and Nebraska/Colorado.
Last week Northern dressed cattle traded anywhere from $301 to $311, but mostly at $305 to $306, which is $4.00 to $5.00 higher than the previous week -- and new all-time high prices for the North. Southern live cattle traded for $184 to $195, but mostly at $186, which is $1.00 higher than the previous week's weighted average. Last week's negotiated cash cattle trade totaled 95,655 head. Of that 77% (74,187 head) were committed to the nearby delivery, while the remaining 23% (21,468 head) were committed to the deferred delivery.
Boxed beef prices closed higher: choice up $0.58 ($320.47) and select up $1.01 ($304.82) with a movement of 99 loads (66.83 loads of choice, 23.57 loads of select, zero loads of trim and 9.08 loads of ground beef).
TUESDAY'S CATTLE CALL: Steady. Packers are going to fight like none other to keep the cash cattle market from advancing any higher, but so much of the market's fate this week depends on whether packers feel like they have enough supply around them or if they're still short bought.
FEEDER CATTLE:
The feeder cattle complex rounded out Monday's market mixed with the early contracts rounding out the day cautiously, while the deferred contracts kept their higher tone through the day's end. August feeders closed $0.65 lower at $261.32, September feeders closed $0.12 lower at $262.57 and October feeders closed $0.20 higher at $263.30. But based on the afternoon sale reports that trickled in after closing, traders will likely be able to confidently trade Tuesday's market higher as countryside sales were on fire throughout Monday's trade. At Joplin Regional Stockyards in Carthage, Missouri compared to last week feeder steers traded $10.00 to $20.00 higher and yearling steers traded $2.00 to $8.00 higher. Feeder heifer calves sold $8.00 to $15.00 higher with yearling heifers traded steady. Feeder cattle supply over 600 pounds was 76%. The CME feeder cattle index 6/14/2024: down $0.41, $255.72.
LEAN HOGS:
Even with afternoon pork cutout values rounding out the day lower, the lean hog complex was able to close higher as traders have established some technical support in the contracts. July lean hogs closed $1.72 higher at $95.37, August lean hogs closed $1.42 higher at $91.87 and October lean hogs closed $1.47 higher at $78.22. The biggest reason why pork cutout values closed lower again is because of a steep decline in the belly, which alone closed $11.83 lower, but the butt also fell $2.72 lower. Pork cutouts totaled 282.46 loads with 259.78 loads of pork cuts and 22.68 loads of trim. Pork cutout values: down $2.41, $98.94. Monday's slaughter is estimated at 459,000 head -- 4,000 head less than a week ago and 3,000 head more than a year ago. The CME lean hog index 6/13/2024: down $0.14, $91.44.
TUESDAY'S HOG CALL: Higher. Given that packers paid little attention to Monday's cash market likely means that they'll need to support the market somewhat more on Tuesday.
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