GENERAL COMMENTS:
Traders are taking a more cautious approach to Wednesday's market following the ICE rumors that spread Tuesday afternoon. Meanwhile the lean hog complex is continuing to trade higher as its market is fueled with ample support. July corn is up 1 cent per bushel and July soybean meal is down $0.70. The Dow Jones Industrial Average is up 122.49 points and NASDAQ is down 7.82 points.
LIVE CATTLE:
Following the anxious nature of Tuesday's trade, the live cattle complex has thus far taken a more cautious approach to Wednesday's market as most of the contracts are trading lower into the noon hour. August live cattle are down $0.20 at $218.00, October live cattle are down $0.72 at $214.92 and December live cattle are down $0.85 at $214.90. At the time of this writing, there have been no new sales in the fed cash cattle market following Tuesday's thin movement in the South. On Tuesday, Southern live cattle traded at $235, which is $5.00 higher than last week's weighted average. Asking prices in the South are now noted at $236, but are still not established in the North.
Boxed beef prices are higher: choice up $1.88 ($373.64) and select up $0.63 ($360.47) with a movement of 50 loads (35.14 loads of choice, 8.75 loads of select, zero loads of trim and 6.41 loads of ground beef).
FEEDER CATTLE:
Upon seeing the hesitant nature of the live cattle complex, it comes as no real surprise to see the feeder cattle contracts also trading lower. August feeders are down $2.02 at $311.12, September feeders are down $1.47 at $311.27 and October feeders are down $1.25 at $309.30. Until more fundamental support arises, or the live cattle contracts regain their rallying mentality, it's likely the feeder cattle contracts will continue to trade cautiously.
LEAN HOGS:
The lean hog complex is trading mostly higher into Wednesday's noon hour as the market is thankful for the added fundamental support from both strong pork cutout values and cash prices. July lean hogs are up $0.67 at $108.87, August lean hogs are up $0.17 at $109.97 and October lean hogs are up $0.40 at $93.50. Traders are hopeful that Thursday's WASDE report will show continued demand throughout the second half of the year, which should also give traders more confidence and ability to continue to trade the contracts higher.
The projected CME Lean Hog Index for 6/10/2025 is up $0.94 at $100.91, and the actual index for 6/9/2025 is up $0.92 at $99.97. Hog prices are higher on the Daily Direct Morning Hog Report, up $1.30 with a weighted average price of $107.15, ranging from $100.00 to $109.50 on 4,965 head. Pork cutouts total 144.46 loads with 136.69 loads of pork cuts and 7.77 loads of trim. Pork cutout values: up $2.11, $112.99.
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