GENERAL COMMENTS:
It was a winning day for the livestock complex as all three of the markets closed higher. New showlists appear to be mixed, higher in Texas, somewhat higher in Nebraska/Colorado, but lower in Kansas. July corn is down 9 cents per bushel and July soybean meal is down $0.20. The Dow Jones Industrial Average is down 1.11 points and the NASDAQ is up 61.29 points.
LIVE CATTLE:
The live cattle complex closed higher Monday afternoon as traders remain hopeful that the market will again see ample support this week from its fundamentals. Mainly traders will keep a close eye on boxed beef prices and the fed cash cattle market as those have been the two biggest influential factors currently in the marketplace. June live cattle closed $0.70 higher at $227.00, August live cattle closed $0.37 higher at $219.25 and October live cattle closed $0.35 higher at $215.87. Monday's slaughter is estimated at 115,000 head – steady with last week but 7,000 head less than a year ago. New showlists appear to be mixed, higher in Texas, somewhat higher in Nebraska/Colorado, but lower in Kansas.
Last Wednesday trade began to develop in the Southern plains at $230 to $232 which is $8.00 to $10.00 higher than the previous week's weighted average, and later in the week Northern dressed cattle traded at mostly $380 which is $13.00 higher than the previous week's weighted average. Last week's negotiated cash cattle trade totaled 78,808 head, with 83% (65,274 head) being committed to the nearby delivery, while the remaining 17% (13,534 head) were committed to the deferred delivery option.
Boxed beef prices closed higher: choice up $2.17 ($367.25) and select up $2.20 ($358.93) with a movement of 90 loads (54.10 loads of choice, 11.15 loads of select, 7.07 loads of trim and 17.81 loads of ground beef).
TUESDAY'S CATTLE CALL: Steady/somewhat higher. It's tough telling how much higher the market couple potentially trade as, week in and week out, new record highs are being achieved. But, until packers build up enough supply, or radically cut throughput, it's likely that prices are going to trade higher.
FEEDER CATTLE:
The feeder cattle complex again followed the live cattle market in its direction as traders continue to look for sustained support to justify trading at these historic levels. August feeder cattle closed $1.50 higher at $311.65, September feeders closed $1.57 higher at $310.70 and October feeders closed $1.47 higher at $308.37. Thankfully even though the big push for buying grass cattle is virtually through, feeder cattle demand continues to be red hot in sale barns across the countryside as buyers know that supplies are going to remain limited. At Joplin Regional Stockyards in Carthage, Missouri at their midsession point and when compared to last week, feeder steers are selling $5.00 to $20.00 higher and feeder heifers are trading $5.00 to $15.00 higher. Feeder cattle supply over 600 pounds was 59%. The CME feeder cattle index 6/6/2025: up $4.30, $310.46.
LEAN HOGS:
Although traders were hesitant to advance the market much higher, the lean hog complex did round out Monday's trade fully higher. July lean hogs closed $0.10 higher at $107.20, August lean hogs closed $0.70 higher at $110.10 and October lean hogs closed $0.72 higher at $93.30. Pork cutout values did close lower, but hopefully, traders will see the higher uptick in cash prices and not hold onto that too closely come Tuesday morning. Hog prices closed higher on the Daily Direct Afternoon Hog Report, up $2.67 with a weighted average price of $103.22 on 1,975 head. Pork cutouts totaled 218.82 loads, with 192.86 loads of pork cuts and 25.96 loads of trim. Pork cutout values: down $1.22, $110.29. Monday's slaughter is estimated at 480,000 head – 17,000 head less than a week and a year ago. The CME lean hog index 6/5/2025: down $0.80, $98.37.
TUESDAY'S HOG CALL: Higher. Given that packers were mildly aggressive in Monday's market, it's likely that they need hogs and will again be active in procuring more hogs on Tuesday.
No comments:
Post a Comment