GENERAL COMMENTS:
It's another mixed day for the livestock complex as the lean hog and live cattle contracts are higher, but the feeder cattle contracts are venturing lower. Still no cash cattle trade has developed yet, but packer interest could improve at any minute. July corn is up 6 1/4 cents per bushel and July soybean meal is up $1.30. The Dow Jones Industrial Average is down 352.45 points and the NASDAQ is up 63.36 points.
LIVE CATTLE:
The live cattle complex is trading mildly higher as traders show light interest toward the market, but don't have enough technical buy-in to do much. June live cattle are up $0.60 at $213.77, August live cattle are up $0.42 at $208.27 and October live cattle are up $0.47 at $205.80. It is supportive that boxed beef prices are higher, but as mentioned above, it's unlikely that traders are going to do much with that positive fundamental development ahead of the long three-day weekend. Still no cash cattle trade has developed, and bids and asking prices remain elusive. It is assumed that prices will trade steady at best this week as packers have been able to buy some supply in recent weeks.
Boxed beef prices are higher: choice up $0.71 ($359.46) and select up $4.06 ($349.02) with a movement of 67 loads (36.92 loads of choice, 9.27 loads of select, 3.37 loads of trim and 17.63 loads of ground beef).
FEEDER CATTLE:
Although the live cattle complex is lending support, the feeder cattle contracts are mostly trading lower into Wednesday's noon hour as traders don't feel comfortable advancing the contracts at this point. Prices in the countryside have dipped slightly this week as some buyers have fulfilled their needs already for grass orders, and others are still leery of being overstocked with drought lingering. August feeders are down $0.87 at $296.62, September feeders are down $0.90 at $295.30 and October feeders are down $0.97 at $293.07.
LEAN HOGS:
The lean hog complex has seemed to gain a second wind as the contracts are trading mostly higher into Wednesday's noon hour. Yes, pork cutout values are up slightly, but a mere $0.36 rally at midday isn't likely enough to be the sole reason why traders are pushing the contracts higher at noon today. It will be especially important to monitor how the complex closes this afternoon as the spot June contract is battling the market's resistance at $100. June lean hogs are steady at $100.02, July lean hogs are down $0.07 at $103.50 and August lean hogs are up $0.25 at $103.25.
The projected lean hog index for 5/20/2025 is up $0.49 at $92.34, and the actual index for 5/19/2025 is up $0.39 at $91.85. Hog prices are higher on the Daily Direct Morning Hog Report, up $2.09 with a weighted average price of $96.60, ranging from $90.00 to $99.00 on 4,155 head and a five-day rolling average of $95.99. Pork cutouts total 129.21 loads, with 112.06 loads of pork cuts and 17.15 loads of trim. Pork cutout values: up $0.36, $100.88.
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