Tuesday Midday Livestock Market Summary - Futures Mixed

GENERAL COMMENTS:

The livestock complex is mixed heading into Tuesday's noon hour as traders begin to harness their minds following the long weekend. New showlists appear to be mixed, higher in Nebraska/Colorado, but lower in Kansas and Texas. July corn is down 5 3/4 cents per bushel and July soybean meal is down $2.80. The Dow Jones Industrial Average is down 105.90 points and NASDAQ is up 258.92 points.

LIVE CATTLE:

The live cattle complex is trading mixed into Tuesday's noon hour following the long Memorial Day holiday weekend. Truthfully, Tuesday's mixed behavior is somewhat refreshing to see as I was prepared for another day of steep downfall following last Friday's bearish Cattle on Feed report. But thankfully traders seem to believe the market has endured enough technical pressure regarding the report, and it's main focus again seems to be on what fundamental support is or is not going to develop this week. That will likely be the main driving factor of this week's trade. June live cattle are down $0.80 at $248.50, August live cattle are down $0.45 at $239.15 and October live cattle are up $0.05 at $230.77. New showlists appear to be mixed, higher in Nebraska/Colorado, but lower in Kansas and Texas.

Last week Southern live cattle traded at mostly $260, which is steady to somewhat weaker than the previous week's weighted average. Northern dressed cattle were marked at mostly $410 to $412, which is $1.00 higher to $1.00 lower than the previous week's weighted average.

Boxed beef prices are higher: choice up $1.98 ($392.25) and select up $4.22 ($389.22) with a movement of 28 loads (18.90 loads of choice, 4.75 loads of select, zero loads of trim and 3.92 loads of ground beef).

FEEDER CATTLE:

Even though Friday's Cattle on Feed report was a bearish pill to swallow, the market is moving full steam ahead into Tuesday's noon hour as traders believe enough downward pressure has already been felt by the complex leading up to the report and now peace can be had moving forward. August feeders are up $1.12 at $350.97, September feeders are up $1.12 at $348.97 and October feeders are up $0.52 at $344.15. Traders were quick to push the contracts higher at the day's open and it's likely they're confident in this decision and will continue to support the contracts through the day's close.

LEAN HOGS:

Meanwhile, the lean hog complex continues to look for consistent and stable fundamental support. Yes, midday pork cutout values are higher, but traders desire to see more than one day's worth of support before they'll likely advance the contracts. June lean hogs are up $0.30 at $96.05, July lean hogs are down $0.10 at $100.30 and August lean hogs are down $0.75 at $99.30. The projected CME Lean Hog Index for 5/22/2026 is down $0.18 at $90.70 and the actual index for 5/21/2026 is up $0.19 at $90.88. Hog prices are unavailable on the Daily Direct Morning Hog Report, but we can see only 165 head have traded and the market's five-day rolling average now sits at $93.46. Pork cutouts total 163.75 loads with 150.42 loads of pork cuts and 13.33 loads of trim. Pork cutout values: up $3.39, 99.65.

Tuesday Morning Livestock Market Update - Early Follow-Through Selling Expected

GENERAL COMMENTS:

Feeder cattle fell significantly on Friday as traders were fearful of the placement number on the Cattle on Feed report. The trade expectation was for placements to be 3% higher than a year ago, but the actual was 6% higher. The question is whether this has been factored in, given the substantial declines on Thursday and Friday, or whether further long liquidation will occur. Added to this were higher on-feed numbers. On feed as of May 1 were 2% higher than a year ago. Reduced slaughter has resulted in feedlots holding onto cattle longer and feeding them to higher weights. Higher weights mean more beef per animal, which does not reduce the tonnage of beef available through reduced slaughter. Marketings in April were 10% below a year ago and should not have much influence on the market. Follow-through selling is likely, but some of the bearishness is already factored in. Boxed beef on Friday showed choice down $1.21 and select down $0.65. The Commitment of Traders report showed fund traders reducing their net-long live cattle position to 127,747 futures contracts, down 1,207. Funds increased their long position in feeder cattle by 910 contracts to a total of 18,819. This is as of last Tuesday.

Hog futures were finally able to bounce in the nearby June and July contracts, but that provided little consolation after the recent substantial decline. The market is oversold technically, but that may be meaningless if the fundamentals do not improve. The National Direct Afternoon Hog report showed cash down $0.35 on Friday. Packers may step up aggressively today as they intend to make up for the holiday. Pork cutout values were up $0.62 on Friday. The Commitment of Traders report showed further liquidation by the funds. They were net sellers of 6,401 futures contracts, reducing their net-long position to 22,810.

	BULL SIDE		BEAR SIDE
1)	The Cattle on Feed report may already be factored in with the substantial decline in feeder cattle over the past two days.	1)	Placements in April were bearish, being 6% higher than a year ago. These will eventually be ready for slaughter.
2)	Beef movement over the Memorial Day weekend is expected to have been good. Retail will need to restock beef supplies.	2)	Fund traders are long in the market and may continue to liquidate more of their positions. The top may be in.
3)	Hog futures are oversold and ready for a bounce. Traders may buy the break in anticipation of increased pork demand this summer.	3)	Hog traders have little reason to buy into the market based on fundamentals. Both cash and cutouts continue to struggle.
4)	Packers are likely to be aggressive early this week and increase slaughter to make up for the holiday. Higher cash should provide support.	4)	Hog runs have yet to shorten up as had been anticipated. Increased pig per litter may not result in a tighter supply.

Friday Closing Livestock Market Update - Weaker Tones Followed Complex Into the Long Weekend

GENERAL COMMENTS:

The livestock complex ended the day mostly lower as the cattle contracts feared what the afternoon's Cattle on Feed report may showcase, and the hog contracts simply can't find the support they need to add stability to the market. No new cash cattle trade developed throughout the day. July corn is up 1 cent per bushel and July soybean meal is up $3.50. The Dow Jones Industrial Average is up 332.00 points and the NASDAQ is up 42.79 points.

From Friday to Friday, the livestock futures scored the following changes: June live cattle down $4.60, August live cattle down $8.33; August feeder cattle down $11.60, September feeder cattle down $12.28; June lean hogs down $3.00, July lean hogs down $2.95; July corn up $0.08 and September corn up $0.07.

**The markets are closed on Monday, May 25, for Memorial Day. Regular DTN market commentary will resume on Tuesday, May 26.**

LIVE CATTLE:

The live cattle complex ended the day mostly lower, although a couple of the nearby live cattle contracts were able to end the day slightly higher. June live cattle closed $0.15 higher at $249.30, August live cattle closed $0.25 higher at $239.60 and October live cattle closed $0.22 lower at $230.72. From a technical standpoint, it wasn't good to see the spot August contract end the day below its 40-day moving average. However, with plenty of fear laced throughout the complex ahead of Friday's Cattle on Feed report, it's easy to see why the market was on edge throughout the day. 

Friday's slaughter is estimated at 99,000 head -- 1,000 head less than a week and a year ago. Saturday's slaughter is projected to be around 2,000 head. The week's total slaughter is estimated at 528,000 head -- 7,000 head less than a week ago and 48,000 head less than a year ago.

Throughout the week, Southern live cattle traded at $260, which is steady with last week's weighted average and Northern dressed cattle traded at $410 to $412, which is $1.00 lower to $1.00 higher than last week's weighted average.

Boxed beef prices closed lower: choice down $1.21 ($390.27) and select down $0.65 ($385.00) with a movement of 75 loads (56.30 loads of choice, 5.40 loads of select, 6.22 loads of trim and 6.87 loads of ground beef).

TUESDAY'S CATTLE CALL: Steady. Depending on exactly how many cattle traded this week, packers may not have to be overly aggressive in next week's market, given that in the last two weeks, they've been extremely aggressive to ensure they have enough supply during peak demand season.

FEEDER CATTLE:

It was a painstaking day for the feeder cattle complex as the market anxiously awaited the unveiling of today's Cattle on Feed report. The industry knew that placements were likely going to be higher than a year ago because of the lingering drought issues, but waiting for that report to be unveiled cost the market exponentially. August feeders closed $6.67 lower at $349.85, September feeders closed $6.47 lower at $346.90 and October feeders closed $6.00 lower at $343.62. DTN's Cattle on Feed comments:

The Oklahoma Weekly Cattle Auction summary shared that, compared to last week, feeder steers traded unevenly steady, but feeder heifers sold steady to $5.00 lower. Steer calves over 500 pounds sold unevenly steady, but under 500 pounds traded $12.00 to $17.00 lower. Heifer calves over 500 pounds sold unevenly steady, but under 500 pounds traded $7.00 to $14.00 lower. Slaughter cows sold steady to $3.00 higher and slaughter bulls sold $6.00 higher. Feeder cattle supply over 600 pounds was 76%. The CME feeder cattle index 5/21/2026: not available at this time.

LEAN HOGS:

It was a lackadaisical day for the lean hog complex as the market mostly kept with its lower trend for the week. Yes, closing pork cutout values may have been able to close a tick higher, but for traders, the support came too late in the week to make a meaningful impact. July lean hogs closed $0.37 higher at $100.40, August lean hogs closed $0.15 lower at $100.07 and October lean hogs closed $0.27 lower at $87.12. Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $0.35 with a weighted average price of $93.23 on 1,452 head. Pork cutouts totaled 326.17 loads with 295.37 loads of pork cuts and 30.80 loads of trim. Pork cutout values: up $0.62, $96.26. Friday's slaughter is estimated at 409,000 head -- 29,000 head less than a week ago and 14,000 head less than a year ago. Saturday's slaughter is projected to be around 7,000 head. The CME lean hog index 5/20/2026: up $0.07, $91.07.

TUESDAY'S HOG CALL: Steady. Given that packers weren't aggressive in the market this week, they may have to show better interest in next week's market.

Friday Midday Livestock Market Update - Cattle Continue to Plumet Lower

GENERAL COMMENTS:

The livestock contracts are trading fully lower into Friday's noon hour as cattle traders weigh fears, waiting for the monthly Cattle on Feed report to be released. The lean hog complex simply can't find enough support. No new cash cattle trade has developed. July corn is up 2 cents per bushel and July soybean meal is up $3.00. The Dow Jones Industrial Average is up 380.98 points and NASDAQ is up 139.62 points.

LIVE CATTLE:

With the anticipation of a bearish Cattle on Feed report looming heavily over the complex -- it comes as no real surprise that the live cattle contracts are trading lower into Friday's noon hour. June live cattle are down $0.65 at $248.50, August live cattle are down $1.42 at $237.85 and October live cattle are down $2.30 at $228.65. No new bids are currently on the table in the cash market and it looks like the bulk of this week's trade is essentially done with, although a little more clean-up trade could happen after the Cattle on Feed report is released.

So far this week, Southern live deals have been done at mostly $260, steady/weak with last week's weighted average. Northern dressed deals have had a fairly wide range of $408 to $415, mostly $410 to $412, $1 lower to $1 higher than the previous week's weighted average, basis Nebraska.

Boxed beef prices are mixed: choice down $1.59 ($389.89) and select up $0.64 ($386.29) with a movement of 53 loads (42.05 loads of choice, 1.95 loads of select, 3.61 loads of trim and 5.71 loads of ground beef).

FEEDER CATTLE:

The feeder cattle complex can't stand it! Walking on egg shells and feeling like the oxygen is slowly being pulled from the air that traders breathe, the feeder cattle contracts are enduring yet another bloodbath Friday as everyone waits to see what Friday's Cattle on Feed report is going to unveil. August feeders are down $10.60 at $345.00, September feeders are down $10.42 at $243.95 and October feeders are down $10.12 at $339.50.

LEAN HOGS:

And although the lean hog complex isn't feeling the same exact pressure the cattle contracts are, it too is lower as traders simply can't find enough support in the market to justify pushing the contracts higher. June lean hogs are up $0.12 at $95.25, July lean hogs are down $0.52 at $99.50 and August lean hogs are down $0.90 at $99.32. Yes, midday pork cutout values are a tick higher, but at this point in the week that doesn't mean much to traders ahead of a long weekend.

The projected CME Lean Hog Index is delayed from the source. Hog prices on the Daily Direct Morning Hog Report average $92.79, ranging from $91.50 to $95.00 on 512 head and a five-day rolling average of $93.57. Pork cutouts totaled 246.48 loads with 96.64 loads of pork cuts and 23.24 loads of trim. Pork cutout values: up $1.00, $96.64.