GENERAL COMMENTS:
As the entire U.S., and arguably the rest of the world, wait for the U.S. presidential election results to come in, the livestock complex traded mixed throughout most of Tuesday's trade as all eyes are fixated on seeing who will become the 47th President of the United States. December corn is up 2 cents per bushel and December soybean meal is down $0.10. The Dow Jones Industrial Average is up 351.09 points.
LIVE CATTLE:
The live cattle complex traded back and forth throughout the day but felt most comfortable keeping the December contract trending slightly lower but thankfully allowed the market's deferred contracts to trade higher. More than anything, today's slight uptick in price seems to be somewhat of a mild rebound following Monday's lower end. But even so, traders elected to keep the December contract trading lower as nervousness and some level of uncertainty linger throughout the marketplace with election results not yet posted. December live cattle closed $0.30 lower at $184.77, February live cattle closed $0.02 higher at $185.95 and April live cattle closed $0.12 higher at $187.00. No business developed in the cash cattle market and bids and asking prices have not yet been posted either.
Tuesday's slaughter is estimated at 124,000 head -- steady with a week ago and 1,000 head less than a year ago.
Boxed beef prices closed mixed: choice up $0.30 ($317.21) and select down $1.92 ($285.24) with a movement of 142 loads (86.79 loads of choice, 38.37 loads of select, zero loads of trim and 16.43 loads of ground beef).
WEDNESDAY'S CATTLE CALL: Lower. Given that packers have been able to build up supply around them in the last couple of weeks, it's likely that this week's trade will be lower.
FEEDER CATTLE:
The feeder cattle complex closed mostly higher although the spot and nearby contracts remained lower through the day's end. More than anything, it seemed as though today's pressure in the nearby contracts was solely because of election market jitters as demand in the countryside remains incredible and the live cattle complex even closed mostly higher which lent some technical support as well. November feeders closed $0.20 lower at $246.15, January feeders closed $0.07 lower at $242.35 and March feeders closed $0.25 higher at $240.50. At the Winter Livestock Auction in La Junta, Colorado, compared to last week feeder steers traded mostly $2.00 to $8.00 higher with instances of even sharp prices across all weight classes. Feeder heifers between 250 to 450 pounds sold mostly $8.00 to $13.00 higher. Feeder heifers over 450 pounds sold steady to $2.00 lower. Feeder cattle supply over 600 pounds was 28%. The CME feeder cattle index 11/4/2024: down $0.27, $250.73.
LEAN HOGS:
The lean hog complex felt pressured throughout Tuesday's trade as not only were traders somewhat distant from the market because of typical election market jitters, but also as traders watched the Mexican peso trade, as pork sales to Mexico are vital to the market's well-being as they're currently one of the biggest export outlets for U.S. pork. It was somewhat disappointing to see the carcass price close lower but with a $6.28 drop in the belly and a $3.79 decline in the loin -- a lower ending carcass price was inevitable. December lean hogs closed $2.10 lower at $81.12, February lean hogs closed $0.82 lower at $84.50 and April lean hogs closed $0.50 lower at $88.10. Hog prices closed higher on the Daily Direct Afternoon Hog Report, up $5.87 with a weighted average price of $83.37 on 4,810 head. Pork cutouts totaled 317.51 loads with 263.55 loads of pork cuts and 53.96 loads of trim. Pork cutout values: down $2.58, $101.43. Tuesday's slaughter is estimated at 488,000 head -- steady with a week ago and 3,000 head more than a year ago. The CME lean hog index 11/1/2024: up $0.82, $89.38.
WEDNESDAY'S HOG CALL: Steady. Cash prices were up substantially throughout Tuesday's trade which could indicate that packers are short bought, but with today's lower ending carcass prices, they may not be as active in Wednesday's cash market.
No comments:
Post a Comment