GENERAL COMMENTS:
Live cattle futures rallied higher once again, with strong triple-digit gains seen in April through August contracts. This move helped push spot month April contracts above $210 per cwt, once again setting contract highs for the complex. Traders continue to aggressively focus on beef market support, which is helping to firm the livestock complex. But much less aggressive support was seen in deferred live cattle and feeder cattle trade. While lean hog futures eroded during midweek trade. Hog prices closed higher on the Daily Direct Afternoon hog report, up $0.62 with a weighted average of $88.88 on 7,996 hogs. May corn closed down 4 at $4.578 and May soybean meal closed down $5.10 at $287.2. The Dow Jones Industrial Average is up 235.36 at 42,225.32.
LIVE CATTLE:
Live cattle prices posted triple-digit gains Wednesday with April through August contracts leading the upward market shift midweek. April futures have not surpassed $210 per cwt, setting another contract high at $210.37 per cwt. The aggressive market shift higher has increased spot April futures $18 per cwt over the last month, helping to rekindle technical buyer support through the complex. June contract led the market higher with gains of nearly $2 per cwt, but the support seemed to be much less aggressive through the last half of 2025, although prices still were able to close higher Wednesday. Cash cattle markets remain quiet with just a few asking prices noted around $212 in the South, but they are still not established in the North. Bids continue to be very hard to find. Significant trade volume will likely be delayed until Thursday or Friday. The inability of feeders to command steady to higher prices at the end of the week if futures markets hold strong would be disappointing heading into the first trade week of April. April live cattle closed $1.25 higher at $210.375, June live cattle closed $1.98 higher at $207.4 and August live cattle closed $1.60 higher at $203.925.
Wednesday's slaughter is estimated at 124,000 head, 1,000 head more than a week ago and 1,000 head more than a year ago.
Boxed beef prices closed lower: choice down $2.32 ($339.9) and select down $3.24 ($318.83) with a movement of 114.51 loads (74.10 loads of choice, 16.88 loads of select, 14.98 loads of trim and 8.55 loads of ground beef).
THURSDAY'S CATTLE CALL: Steady. Very limited cash market activity has developed at this point, which is creating some uncertainty about the ability of feeders to demand steady to higher prices at the end of the week. If futures prices continue to move higher, anything less than steady money will be viewed as a significant disappointment. There is still some uncertainty about how many cattle packers need to access this week.
FEEDER CATTLE:
Feeder cattle futures followed the live cattle complex higher Wednesday with light to moderate buyer support seen through most of the complex. Nearby contracts seemed little impressed through most of the session with the triple-digit gains in live cattle futures, although late 2025 contract months were more influenced by the optimism seen in the complex. The uncertainty of short-term economic issues is being focused on near-term buyer interest and activity, and for now, trades seem to be less concerned about pressure in the beef market through the middle of 2026. This may continue to add premium to deferred contracts through the remainder of the spring. April feeders closed $0.60 higher at $288.875, May feeders closed $0.78 higher at $287.925 and August feeders closed $1.30 higher at $293.7. The CME Feeder Cattle Index for March 31: up $0.25, $291.27.
LEAN HOGS:
Lean hog futures ended the session Wednesday mostly lower. But limited buyer support in April contracts pulled the complex from posting a fully red board as April contracts closed 7.5 cents per cwt higher. This move is not likely significant long term, but the fact that the slight end-of-day support held prices from moving below the 40-day moving average is creating a sense of stability for the time being. The rest of the complex remained under light to moderate pressure. Even though summer contracts slid lower, the fact that prices moved off of session lows is helping to create a small sense of stability through the complex. April lean hogs closed $0.08 higher at $87.45, May lean hogs closed $0.35 lower at $89.125 and June lean hogs closed $0.50 lower at $96.525. Wednesday's hog slaughter is estimated at 485,000 head, 2,000 head less than a week ago and 3,000 head less than a year ago. Pork Cutouts totaled 332.17 loads with 307.56 loads of pork cuts and 24.61 loads of trim. Pork cutout values are down $1.81 at $93.7. The CME Lean Hog Index for March 31: up $0.15, $88.65.
THURSDAY'S HOG CALL: Steady. Early cash hog bids are expected generally steady Thursday morning. The lack of aggressive market losses late Wednesday in futures trade is likely to keep cash values generally stable at least until buyers get a feeling for market moves through the last half of the week.
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