GENERAL COMMENTS:
What a Monday -- yikes! Now that we have it done with, I hope that the rest of the week gets better. Another packing plant closing and oil prices dropping created more stress on an already burdened market. Hog prices closed lower on the National Direct Afternoon Hog Report, down $0.21 with a weighted average of $31.83 on 2,753 head sold. May corn is down 8 cents per bushel and July soybean meal is down $2.30. The Dow Jones Industrial Average is down 592.05 points and NASDAQ is down 89.41 points.
LIVE CATTLE:
Live cattle contracts closed lower, though earlier in the day there was some higher trade. June live cattle closed $1.20 lower at $85.10, August live cattle closed $1.00 lower at $90.10 and October live cattle closed $0.77 lower at $95.35. Monday was a quiet day for cattle contracts as other parts of the futures market took the day by surprise and tumbled lower (oil prices). As the week progresses, it will be essential to keep a close eye on how packers are processing cattle and to stay attuned to any more plant closures. Monday's slaughter is estimated at 90,000 head, 2,000 head less than a week ago and 23,000 head less than a year ago.
Boxed beef prices are higher: choice up $9.39 ($248.38) and select up $10.79 ($237.99) with a movement of 110 loads (71.92 loads of choice, 7.95 loads of select, 9.58 loads of trim and 20.18 loads of ground beef).
TUESDAY'S CASH CATTLE CALL: Steady to lower. Cash prices could tilt either way this week. Prices could drop lower as the supply of readily available cattle grows. But if plants can reopen, firmness will develop at that point. Regardless, it pains me to say that cash prices could fall lower as we hope a bottom is in or at least near, but with supplies growing cash prices are at risk.
FEEDER CATTLE:
Feeder cattle contracts had a tough day closing lower throughout the entire complex, but nearby contracts took Monday's arrival harder than deferred contracts. May feeders closed $2.00 lower at $117.27, August feeders closed $0.75 lower at $127.65 and September feeders closed $0.70 lower at $129.25. At Joplin Regional Stockyards in Carthage, Missouri, compared to last week, steers under 550 pounds and over 700 pounds sold steady to $3.00 higher, 550 to 700 pound steers sold steady, and heifer calves and yearling heifers sold steady. Demand was moderate to good and supply was moderate with a run of 5,000 head. The CME feeder cattle index: not available at this time.
LEAN HOGS:
Oddly enough the lean hog complex closed higher, and slaughter was up a tick for the day. June lean hogs are up $2.52 at $46.25, July lean hog are up $1.85 at $53.77 and August lean hogs are up $2.25 at $58.65. Pork cutouts totaled 345.53 loads with 282.60 loads of pork cuts and 62.93 loads of trim. Pork cutout values: up $6.55, $66.68. Monday's slaughter is estimated at 370,000 head, 70,000 head more than a week ago and 43,000 head more than a year ago. The CME lean hog index 4/16/2020: down $0.77, $44.95
TUESDAY'S CASH HOG CALL: Lower. Although the board closed higher and the market was able to muster some support throughout all of the contracts, the cash market isn't as strong and continues to trade lower, slowly but surely. Seeing that more plants are closing, it's expected to continue to do the same until more are reopened.
 |
| #completeherdhealth |
No comments:
Post a Comment