It was a mixed day for the livestock complex, as the cattle contracts closed mostly lower but the lean hog contracts closed higher. No trade developed in the cash cattle market, but it's assumed that prices will trade either steady or somewhat higher again this week. March corn is up 6 cents per bushel and March soybean meal is up $9.50. The Dow Jones Industrial Average is up 358.67 points.
LIVE CATTLE:The live cattle contracts rounded out the day lower as traders are sheepish of overly supporting the market ahead of seeing what demand pans out to be this week and before seeing what the cash cattle market accomplishes. February live cattle closed $1.37 lower at $197.40, April live cattle closed $1.27 lower at $198.20 and June live cattle closed $1.57 lower at $192.52. No trade developed throughout the day in the cash cattle market, but it is assumed that feedlot managers will price cattle higher again this week. New showlists appear to be mixed, higher in Nebraska/Colorado, and Texas, but lower in Kansas.
Monday's slaughter is estimated at 117,000 head -- 8,000 head more than a week ago and 9,000 head more than a year ago.
Last week Northern dressed cattle traded anywhere from $315 to $330, but mostly at $320, which is $5.00 higher than the previous week's weighted average. And Southern live cattle traded anywhere from $200 to $202, which is $4.00 to $6.00 higher than the previous week's weighted average. Both the live and dressed prices mark yet another new all-time high for both regions. And last week's negotiated cash cattle trade totaled 77,044 head. Of which 75% (58,073 head) were committed to the nearby delivery while the remaining 25% (18,971 head) were committed to the deferred delivery option.
Boxed beef prices closed higher: choice up $0.51 ($333.35) and select up $3.43 ($317.57) with a movement of 118 loads (75.27 loads of choice, 18.03 loads of select, 9.46 loads of trim and 14.75 loads of ground beef).
TUESDAY'S CATTLE CALL: Steady/somewhat higher. This week's trade will likely depend on how short bought packers are. If they need cattle, prices will likely trade higher. If they're somewhat comfortable with their inventory, prices could trade steady.
FEEDER CATTLE:The feeder cattle complex rounded out the day lower as the lack of support from the live cattle market amid the $0.06 to $0.07 rally in the corn complex was enough pressure to keep the market trading lower through closing time. January feeders closed $0.50 lower at $271.85, March feeders closed $1.50 lower at $267.90 and April feeders closed $1.85 lower at $268.32. At Joplin Regional Stockyards in Carthage, Missouri compared to their last sale two weeks ago, and at their midsession point, feeder steers were trading $5.00 to $20.00 higher, and feeder heifers were selling $3.00 to $20.00 higher. Feeder cattle supply over 600 pounds was 71%. The CME feeder cattle index 1/10/2025: down $1.25, $277.30.
LEAN HOGS:Even though pork cutout values rounded out the day slightly lower, the lean hog complex has built up enough positive technical momentum to keep the market trading higher. Now if pork cutout values close lower again on Tuesday afternoon, then the market may begin to rethink its direction. February lean hogs closed $0.62 higher at $83.17, April lean hogs closed $0.62 higher at $89.30 and June lean hogs closed $0.10 lower at $102.47. The spot February contract will begin to run into some technical pressure around $84.00. Hog prices closed higher on the Daily Direct Afternoon Hog Report, up $0.14 with a weighted average price of $79.14 on 2,267 head. Pork cutouts totaled 321.46 loads with 282.16 loads of pork cuts and 39.30 loads of trim. Pork cutout values: down $1.16, $90.20. Monday's slaughter is estimated at 486,000 head – 39,000 head more than a week ago and 116,000 head more than a year ago. The CME lean hog index 1/9/2025: down $0.16, $80.43.
TUESDAY'S HOG CALL: Steady. Prices were slightly higher Monday afternoon, but packers still need to buy more volume.
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