GENERAL COMMENTS:
The livestock complex was well supported through Monday's trade as all three markets closed higher. If traders remain aggressive in supporting the cattle complex, there's a chance that the cash cattle market could trade steady this week. December corn is up 10 1/4 cents per bushel and December soybean meal is up $11.90. The Dow Jones Industrial Average is up 127.91 points.
LIVE CATTLE:
It was relieving to see that traders opted to focus on the Cattle on Feed report's lighter note of placements and to allow Monday's market to trade higher. Traders weren't sheepish in their desire to move the complex higher as right from the day's get-go prices traded stronger and thankfully traders kept invested in the market through the day's end. August live cattle closed $0.82 higher at $183.92, October live cattle closed $1.12 higher at $184.60 and December live cattle closed $1.35 higher at $186.02. No cash cattle trade developed throughout the day and it's likely that again this week trade is delayed until Wednesday or later. New showlists appear to be mixed, higher in Texas, but lower in Kansas, and Nebraska/Colorado. Monday's slaughter is estimated at 115,000 head -- 3,000 head less than a week ago and 7,000 head less than a year ago.
Last week Southern live cattle traded at mostly $188, which is fully steady with the previous week's weighted average. Northern dressed cattle traded at mostly $310, which is $2.00 lower than the previous week's weighted average. Last week's negotiated cash cattle trade totaled 71,749 head. Of that 76% (54,696 head) were committed to the nearby delivery, while the remaining 24% (17,053 head) were committed to the deferred
Boxed beef prices closed lower: choice down $0.39 ($313.44) and select down $0.47 ($298.33) with a movement of 149 loads (84.86 loads of choice, 27.38 loads of select, 10.90 loads of trim and 26.19 loads of ground beef).
TUESDAY'S CATTLE CALL: Steady. If the board continues to trade in a positive manner, there's a chance that cattle could trade steady this week.
FEEDER CATTLE:
It's pretty impressive that on a day when the corn complex closed $0.10 to $0.11 higher that the feeder cattle complex was able to remain focused on its strong fundamentals and not bat an eye or shed an ounce of worry over the grain market's behavior. But all throughout Monday's trade the feeder cattle complex rallied throughout the day as traders were relieved to see placements lighter on Friday's Cattle on Feed report and continue to see tremendous demand and support in the countryside for both calves and feeders. August feeders closed $0.80 higher at $256.40, September feeders closed $0.72 higher at $256.50 and October feeders closed $0.60 higher at $256.25. At Joplin Regional Stockyards in Carthage, Missouri compared to last week feeder steers under 800 pounds sold $8.00 to $20.00 higher and feeder steers over 800 pounds traded steady to $3.00 higher. Feeder heifers sold mostly $3.00 to $10.00 higher with light five weight heifers trading up to $20.00 higher. Feeder cattle supply over 600 pounds was 66%. The CME feeder cattle index 7/19/2024: up $2.40, $256.67.
LEAN HOGS:
The lean hog complex continued with its rallying nature all throughout Monday's trade as trades were pleased to see the afternoon's carcass price again close higher. Traders haven't batted an eye at trading the contracts higher ever since pork cutout values have begun to trade higher. Thankfully the cuts are seeing consistent support which is helping keep the futures complex stable in its upward trek. The belly's $5.01 jump and the ham's $6.13 jump were the biggest reasons why the carcass prices were able to close the day higher -- which hopefully remains a trend notable again throughout this week's trade. August lean hogs closed $0.80 higher at $92.37, October lean hogs closed $1.42 higher at $75.97 and December lean hogs closed $1.02 higher at $67.95. Hog prices closed $1.62 higher on the Daily Direct Afternoon Hog Report, averaging $84.04 on 2,263 head. Pork cutouts totaled 263.35 loads with 236.83 loads of pork cuts and 26.52 loads of trim. Pork cutout values: up $2.01, $104.17. Monday's slaughter is estimated at 459,000 head -- 19,000 head less than a week ago and steady with a year ago. The CME lean hog index 7/18/2024: up $0.44, $89.71.
TUESDAY'S HOG CALL: Steady to somewhat higher. Given that pork cutout values are being well supported again early this week it's likely that packers show Tuesday's cash market more interest.
No comments:
Post a Comment