GENERAL COMMENTS:
It was another gloomy day for the livestock complex, as even though corn prices drifted lower throughout the day's close, the livestock contracts couldn't muster up the support they needed to keep prices trading positively. December corn is down 12 1/4 cents per bushel, and December soybean meal is down $11.50. The Dow Jones Industrial Average is down 361.24 points.
LIVE CATTLE:
The live cattle complex closed lower with traders once again sidelining the market ahead of seeing what packers and feedlots come to terms with this week, and naturally taking a more cautious approach to the market ahead of seeing what Friday's Cattle on Feed report unveils. August live cattle closed $0.65 lower at $179.10, October live cattle closed $0.70 lower at $179.97 and December live cattle closed $0.80 lower at $184.17. The cash cattle market didn't see much action develop, as it's likely that trade is delayed until later in the week. There was some light trade reported in the North at $188, which is mostly steady with last week's weighted averages. Tuesday's slaughter is estimated at 125,000 head -- 1,000 head more than a week ago and 2,000 head less than a year ago.
Boxed beef prices were unavailable at the time these comments were posted, as USDA was having technical issues.
WEDNESDAY'S CATTLE CALL: Steady. Given that it's a Cattle on Feed report week, prices are likely to remain steady.
FEEDER CATTLE:
The feeder cattle complex was trading higher throughout Tuesday morning, but as the afternoon drug on, traders' enthusiasm surrounding the feeder cattle complex slowly faded away and allowed for the contracts to close lower. Even though the nearby corn contracts closed $0.11 to $0.12 lower, feeders didn't find the technical support they needed to keep prices trading positively. Thankfully, demand remains incredibly strong in the countryside and continues to actively seek out both feeders and calves -- but that didn't seem to mean much to traders throughout today's trade. August feeders closed $0.35 lower at $245.87, September feeders closed $0.35 lower at $249.77 and October feeders closed $0.30 lower at $251.55. The CME feeder cattle index 8/14/2023: unavailable at publication time.
LEAN HOGS:
The lean hog complex continued to sink lower and lower throughout Tuesday's trade, as the market simply couldn't muster up any support. Pork cutout values have been all over the board lately, which fuels skepticism, as big swings in the individual cuts is never supportive. October lean hogs closed $0.95 lower at $78.20, December lean hogs closed $1.40 lower at $71.25 and February lean hogs closed $1.12 lower at $75.87. Tuesday's slaughter is estimated at 476,000 head -- 5,000 head more than a week ago and 3,000 head less than a year ago. The CME lean hog index 8/15/2023: down $0.49, $102.57.
Pork cutout values and hog prices on the Daily Direct Afternoon Hog Report were unavailable at publication time, as USDA was having technical issues.
WEDNESDAY'S HOG CALL: Steady. It's tough saying what cash prices will be on Wednesday when Tuesday's reports are delayed, but it's likely that packers will show the market a little more interest, as they tend to be active in the cash market by Wednesday.
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