GENERAL COMMENTS:
Although the cattle contracts were pressured throughout the earlier part of the day, trades ultimately landed at the same conclusion collectively that the market's direction was higher. Still no cash cattle trade has developed. May corn is down 2 cents per bushel and May soybean meal is down $1.10. The Dow Jones Industrial Average is down 527.16 points.
Thursday's export report shared that beef net sales of 10,300 mt for 2025 were down 41% from the previous week and 11% from the prior 4-week average. The three primary buyers were South Korea (3,200 mt), Japan (1,900 mt) and Hong Kong (1,300 mt). Pork net sales of 5,800 mt for 2025, a marketing year low, were down 72% from the previous week and 82% from the prior 4-week average. The three largest buyers were Japan (6,300 mt), Mexico (3,800 mt) and South Korea (1,800 mt).
LIVE CATTLE:
The live cattle complex fought tooth and nail to sustain its rally and it did. The only contract that closed slightly lower was the spot June live cattle contract, but that's largely because traders were leery of advancing the contract ahead of seeing what this week's fed cash cattle market does. Asking prices have been noted in the South at $214 to $215, and at $340 in the North, but still no sizeable sales have been reported. It's fully anticipated that the market will trade higher again this week. The question just remains: will it be $1.00 to $2.00 higher, or closer along the lines of last week's trade where prices jumped $4.00 to $7.00 higher? June live cattle closed $0.10 lower at $208.00, August live cattle closed $0.22 higher at $204.10 and October live cattle closed $0.37 higher at $202.07.
Thursday's slaughter is estimated at 116,000 head -- 4,000 head less than a week ago and 11,000 head less than a year ago.
Boxed beef prices closed higher: choice up $1.73 ($333.70) and select up $1.83 ($316.35) with a movement of 102 loads (70.55 loads of choice, 14.60 loads of select, 9.45 loads of trim and 6.90 loads of ground beef).
FRIDAY'S CATTLE CALL: $1.00 to $2.00 higher. Given the significant price jump seen last week, I anticipate that prices won't jump as aggressively this week.
FEEDER CATTLE:
The feeder cattle complex was able to maintain its rally through the day's end even though the market was challenged at times throughout the day. But with the bullish sediment alive and well throughout the entire cattle complex, traders allowed the market to creep higher through the day's end. May feeders closed $0.72 higher at $289.07, August feeders closed $0.52 higher at $292.70 and September feeders closed $0.57 higher at $291.77. At Hub City Livestock Auction in Aberdeen, South Dakota compared to last week steers weighing 750 to 799 pounds sold $8.00 to $10.00 higher, and steers weighing 900 to 1,049 pounds traded $4.00 to $8.00 higher, with instances up to $10.00 higher. The best test on heifers was on those weighing 550 to 699 pounds, which traded $7.00 to $10.00 high, but it was the heifers weighing 650 to 699 pounds that traded as much as $15.00 higher. Feeder cattle supply over 600 pounds was 84%. The CME feeder cattle index 4/23/2025: up $1.73, $287.24.
LEAN HOGS:
The lean hog complex wasn't as fruitful as the cattle contracts, but given the recent gains the market has seen, some downside was expected. June lean hogs closed $0.22 lower at $99.92, July lean hogs closed $0.25 lower at $100.05 and August lean hogs closed $0.17 lower at $98.30. It was supportive long term however to see pork cutout values higher as the carcass price was well supported given the loin alone closed $4.70 higher, and the ham jumped $3.38. Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $0.56 with a weighted average price of $91.31 on 4,665 head. Pork cutouts totaled 315.16 loads with 284.82 loads of pork cuts and 30.34 loads of trim. Pork cutout values: up $1.78, $95.86. Thursday's slaughter is estimated at 475,000 head -- steady with a week ago and 11,000 head less than a year ago. The CME lean hog index 4/23/2025: up $0.67, $86.75.
FRIDAY'S HOG CALL: Lower. At this point, it's most likely that packers have fulfilled their cash needs for the week.
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