GENERAL COMMENTS:
The cattle contracts are trading higher into Thursday's noon hour thanks to the added support of stronger boxed beef prices and higher cash cattle trade. No new trade has developed at this point today, but more trade will likely surface ahead of the week's end. May corn is down 5 3/4 cents per bushel and May soybean meal is down $0.10. The Dow Jones Industrial Average is up 569.35 points and the NASDAQ is up 313.55 points.
Thursday's export report shared that beef net sales of 7,600 mt for 2025 were down 41% from the previous week and 42% from the prior 4-week average. The three largest buyers were Japan (6,600 mt), South Korea (1,900 mt) and Hong Kong (1,400 mt). Pork net sales of 24,200 mt for 2025 were down 30% from the previous week, but up 14% from the prior 4-week average. The three largest buyers were Mexico (9,900 mt), Japan (3,500 mt) and South Korea (3,000 mt).
LIVE CATTLE:
The live cattle complex is trading slightly higher upon recognizing the light movement in the North yesterday afternoon and higher for fed cash cattle prices. It's also helpful that boxed beef prices have seemed to find another wind of support as boxes have seen better demand this week than they have in recent weeks. June live cattle are up $1.17 at $213.70, August live cattle are up $1.07 at $209.45 and October live cattle are up $0.82 at $207.00. There's been no more trade in the cash cattle market today, but some more trade is likely to develop ahead of the week's end, especially in the North, as movement there has been thin. So far this week, the bulk of transactions have been in Kansas and Texas, with a range of $218 to $221, mostly $219 to $220, $1 to $2 higher than last week's weighted averages. Very light scattered sales in Nebraska and Iowa have been marked at $353 to $360, mostly $353 to $355, $4 to $6 higher than last week's weighted averages, basis Nebraska.
Boxed beef prices are higher: choice up $1.65 ($347.80) and select up $0.58 ($334.58) with a movement of 74 loads (37.70 loads of choice, 5.25 loads of select, 23.16 loads of trim and 7.53 loads of ground beef).
FEEDER CATTLE:
The feeder cattle complex is also trading higher as the market is pleased to see ample support stemming from the live cattle/fed cash cattle market this week. With the live cattle contracts trading higher, boxed beef prices seeing better demand, the fed cash cattle market trading higher, and prices still extremely high in the countryside for feeder cattle, the market honestly has all the support it could wish for. May feeders are up $1.37 at $295.82, August feeders are up $1.32 at $299.92 and September feeders are up $1.70 at $299.02.
LEAN HOGS:
With a less-than-supportive export sales report and lukewarm market fundamentals, it comes as no surprise that the lean hog market is trading mixed again today. June lean hogs are down $0.12 at $97.20, July lean hogs are up $0.30 at $99.77 and August lean hogs are up $0.12 at $98.05. The losses currently seen in the pork cutout sector are mainly affecting the carcass prices because of the $5.31 decline in the rib and the $3.00 drop in the belly.
The projected lean hog index for 5/7/2025 is down $0.09 at $90.07 and the actual index for 5/6/2025 is up $0.03 at $90.16. Hog prices are higher on the Daily Direct Morning Hog Report, up $2.23 with a weighted average price of $94.64, ranging from $85.00 to $97.25 on 3,426 head and a five-day rolling average of $93.19. Pork cutouts total 181.54 loads, with 153.50 loads of pork cuts and 28.05 loads of trim. Pork cutout values: down $0.82, $94.72.
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