Thankfully it was a relatively supportive day for the livestock complex as most of the contracts closed higher in the three markets. Bids were offered throughout the day in the cash cattle market, but largely feedlot managers are holding out in hopes that packer interest will improve. March corn is up 6 1/4 cents per bushel and March soybean meal is down $2.50. The Dow Jones Industrial Average is down 225.09 points.
LIVE CATTLE:From a technical standpoint, Wednesday's market came and went without any lavish derailments, which is a win in the market's current scenario. Most of the live cattle contracts were able to close higher by the day's end although the immediate nearby contracts did close slightly lower as traders were seemingly holding their breath to see what the week's cash cattle trade was going to do. Bids of $202 to $203 live were offered throughout the day, and $320 dressed, but no trade was reported. Asking prices remain firm in the South at $204-plus but are still not established in the North. There was a handful of cattle sold in the South Tuesday afternoon for $203, which is $3.00 lower than last week's weighted average. However, until more cattle trade, it's too soon to say that any sort of a weekly trend has been established. February live cattle closed $0.52 lower at $199.15, April live cattle closed $0.27 lower at $195.72 and June live cattle closed steady at $191.37.
Wednesday's slaughter is estimated at 120,000 head -- 1,000 head less than a week ago and 3,000 head less than a year ago.
Boxed beef prices closed lower: choice down $3.20 ($319.26) and select down $3.07 ($309.14) with a movement of 176 loads (122.47 loads of choice, 26.18 loads of select, 12.79 loads of trim and 14.92 loads of ground beef).
THURSDAY'S CATTLE CALL: Lower. Given that packers were able to build up some supply last week it's likely that prices will be lower this week.
FEEDER CATTLE:With the encouragement of the live cattle complex's higher close, the feeder cattle market was also able to close slightly higher. Thankfully the market seems to be respecting the support plane around $264.70, but before we can confidently say that any sort of a bottom has been established for the current move we'll need to see multiple days close above that threshold. March feeders closed $0.20 higher at $264.97, April feeders closed $0.27 higher at $265.25 and May feeders closed $0.07 higher at $263.75. At Winter Livestock in Dodge City, Kansas compared to last week heavy 500-pound steers sold $3.00 higher, and heavy 600-pound heifers traded $3.00 higher as well, but all the other weights of cattle were not well tested but lower undertones were noted. Feeder cattle supply over 600 pounds was 70%. The CME feeder cattle index 2/11/2025: down $0.12, $275.73.
LEAN HOGS:The lean hog complex soared throughout Wednesday's market as traders were relieved to finally be trading above the market's resistance at $92.00. Although pork cutout values traded lower throughout the day, traders didn't seem affected as they confidently advanced the contracts through the day's end with virtually no hesitation. April lean hogs closed $1.35 higher at $92.32, June lean hogs closed $1.25 higher at $105.95 and July lean hogs closed $1.12 higher at $106.37. The loin, butt and rib all endured losses of over $2.00 this afternoon which is what mainly pulled the carcass price lower. Hopefully, Thursday's export report shows continued demand globally. Hog prices closed higher on the Daily Direct Afternoon Hog Report, up $0.70 with a weighted average price of $89.25 on 5,436 head. Pork cutouts totaled 324.41 loads with 285.44 loads of pork cuts and 38.97 loads of trim. Pork cutout values: down $1.09, $98.63. Wednesday's slaughter is estimated at 490,000 head -- 1,000 head more than a week ago and 2,000 head more than a year ago. The CME lean hog index 2/10/2025: up $0.44, $86.19.
THURSDAY'S HOG CALL: Steady. Packers could still need some more hogs this week, but it's likely that prices will trade steady/somewhat lower.
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