GENERAL COMMENTS:
The livestock complex struggled technically throughout the day as traders paid little attention to the market as they're seeming uncomfortable with the idea of advancing the contracts at this point. Heading into this week, new showlists appear to be lower in all three major feeding states. March corn is up 3 cents per bushel and January soybean meal is up $0.70. The Dow Jones Industrial Average is down 110.58 points.
LIVE CATTLE:
It was a floundering day for the live cattle complex as the market struggled technically to gain any momentum. Traders pushed the market aggressively last week, and now seem to be struggling from some exhaustion. This could mean that the complex will drift lower in the days ahead unless something wild develops in the cash market. December live cattle closed $1.62 lower at $192.02, February live cattle closed $2.05 lower at $189.97 and April live cattle closed $1.25 lower at $191.75. Heading into this week, new showlists appear to be lower in all three major feeding states. Monday's slaughter is estimated at 118,000 head -- 1,000 head less than a week ago and 5,000 head less than a year ago.
Last week Southern live cattle traded from mostly $191 to $192, which is steady to $2.00 higher than the previous week's weighted average. Northern dressed cattle traded anywhere from $295 to $311, but the majority of the business was done at $302 to $305 which is $5.00 to $8.00 higher than the previous week's weighted average. The week's total movement in the negotiated cash cattle market totaled 77,128 head. Of that 68% (52,132 head) were committed to the nearby delivery, while the remaining 32% (24,996 head) were committed to the deferred delivery.
Boxed beef prices closed higher: choice up $0.98 ($317.37) and select up $5.71 ($289.57) with a movement of 104 loads (55.35 loads of choice, 18.60 loads of select, 9.24 loads of trim and 21.16 loads of ground beef).
TUESDAY'S CATTLE CALL: Steady to somewhat higher. Given that feedlot managers sit in a unique position where they can simply elect to roll over their showlists as opposed to having to sell them week in and week out. Prices will likely trade steady to somewhat higher as feedlot managers won't likely accept anything below steady prices.
FEEDER CATTLE:
The feeder cattle market traded lower all throughout Monday's complex as traders remain skeptical of being overly supportive of the markets right now. Last week the feeder cattle complex saw tremendous technical support early in the week, but after hitting resistance levels, the market's momentum fizzled out. January feeders closed $2.10 lower at $255.55, March feeders closed $1.30 lower at $256.37 and April feeders closed $1.10 lower at $257.42. At Joplin Regional Stockyards in Carthage, Missouri compared to last week and at their midpoint session, feeder steers were selling anywhere from $2.00 lower to $8.00 higher, and feeder heifers were trading steady to $5.00 lower. The CME feeder cattle index 12/13/2024: down $0.86, $261.73.
LEAN HOGS:
Although the lean hog complex appeared to find some technical footing last week, the market again fell subject to more technical down pressure through Monday's trade. February lean hogs closed $2.05 lower at $83.55, April lean hogs closed $1.50 lower at $88.25 and June lean hogs closed $0.90 lower at $100.02. Even though the carcass price was able to close slightly higher, traders felt as though its support wasn't significant enough to turn the tide and push the futures contracts higher. Hog prices closed higher on the Daily Direct Afternoon Hog Report, up $0.46 with a weighted average price of $79.39 on 2,127 head. Pork cutouts totaled 367.46 loads with 320.89 loads of pork cuts and 46.57 loads of trim. Pork cutout values: up $0.92, $95.53. Monday's slaughter is estimated at 487,000 head -- 2,000 head less than a year ago and 8,000 head more than a year ago. The CME lean hog index 12/12/2024: down $0.02, $83.90.
TUESDAY'S HOG CALL: Steady to somewhat higher. Packers will likely be more aggressive in Tuesday's cash hog market as they'll look to secure more inventory.
No comments:
Post a Comment