GENERAL COMMENTS:
The livestock complex is trading mixed into Thursday's noon hour as traders are hoping for more fundamental support to surface. The cash market still hasn't traded cattle, but bids are currently being offered in Texas and Nebraska. December corn is up 4 1/2 cents per bushel and December soybean meal is up $2.50. The Dow Jones Industrial Average is up 449.07 points.
Thursday's export report shared that beef net sales of 17,200 metric tons (mt) for 2024 were up 8% from the previous week, but down 4% from the prior 4-week average. The three primary buys were Japan (5,400 mt), China (3,300 mt) and South Korea (1,900 mt). Pork net sales of 42,200 mt for 2024 were up noticeably from the previous week and up 59% from the prior 4-week average. The three primary buyers were Mexico (13,800 mt), China (11,500 mt) and South Korea (6,900 mt).
LIVE CATTLE:
The live cattle complex is stuck tapping its toe, waiting for the cash cattle market to give it the fundamental support it needs... or not. There are currently bids offered in Nebraska at $183 to $184 live and $292 to $294 dressed and a live bid of $182 in Texas. But at this point no cattle have traded. Asking prices are currently noted in the South at $184 to $186 but price levels have not yet been established in the North. October live cattle are down $0.87 at $177.75, December live cattle are down $1.40 at $176.32 and February live cattle are down $1.62 at $177.35.
Boxed beef prices are mixed: choice up $0.94 ($308.23) and select down $1.09 ($296.54) with a movement of 86 loads (57.16 loads of choice, 11.78 loads of select, 5.62 loads of trim and 11.77 loads of ground beef).
FEEDER CATTLE:
With the slight change in attitude of the live cattle complex, the feeder cattle market is trading fully lower as traders simply aren't willing to advance feeders without the support of the live cattle complex. September feeders are down $1.57 at $239.72, October feeders are down $1.80 at $236.77 and November feeders are down $1.85 at $234.52. At this point, it's not likely the complex will change its demeanor ahead of the day's close as traders seem to be stuck waiting to see what develops in the fed cash cattle market -- which hasn't seen any trade develop just yet.
LEAN HOGS:
As we near the noon hour, the lean hog complex is trading mixed even though this morning's export report was lavish with 42,200 mt reported. And at the day's initial start, the market was trading fully higher, but as time has progressed and traders have taken note of the morning's dismal cash hog sales and slightly weaker pork cutout values at noon -- traders are taking a mixed approach to the market now. October lean hogs are steady at $81.67, December lean hogs are up $0.05 at $71.97 and February lean hogs are up $0.02 at $74.52.
The projected CME Lean Hog Index for 8/28/2024 is down $0.41 at $87.04, and the actual index for 8/27/2024 is down $0.37 at $87.45. Hog prices again are unavailable on the Daily Direct Morning Hog Report because of confidentiality. However we can see that only 50 head of hogs have traded this morning and that the market's 5-day rolling average now sits at $80.35. Pork cutouts totaled 114.31 loads with 100.13 loads of pork cuts and 14.18 loads of trim. Pork cutout values: down $0.33, $94.95.
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