GENERAL COMMENTS:
The livestock complex had a mixed day as traders were cautious to overly support the cattle complex following the gains seen previously this week and given that the fed cash cattle market hasn't seen much trade yet. Friday will be a big day for the cattle as both the Cattle on Feed and Bi-Annual Cattle Inventory reports will be shared. September corn is up 3 1/4 cents per bushel and August soybean meal is down $2.30. The Dow Jones Industrial Average is down 316.38 points and the NASDAQ is up 37.94 points.
Thursday's export report shared that Beef net sales of 16,700 mt for 2025 were up 90% from the previous week and 46% from the prior 4-week average. The three largest buyers were South Korea (9,000 mt), Japan (2,400 mt) and Taiwan (1,500 mt). Pork net sales of 17,000 mt for 2025 were down 1% from the previous week and 43% from the prior 4-week average. The three largest buyers were Mexico (7,200 mt), Colombia (3,100 mt) and Japan (2,200 mt).
LIVE CATTLE:
The live cattle complex rounded out the day lower as traders merely sat on their hands, waiting for time to pass by and hoping that they'd see some support from the market's fed cash cattle trade. August live cattle closed $1.22 lower at $225.80, October live cattle closed $1.35 lower at $222.15 and December live cattle closed $1.25 lower at $222.65. Bids were offered in both regions throughout the day, but as feedlot managers waited for packers to up their bids, time slipped by, and very few cattle traded throughout the day. There was just a handful of cattle traded in the South at $231, which is $1.00 higher than last week's weighted average.
Thursday's slaughter is estimated at 117,000 head, 2,000 head more than a week ago and 3,000 head less than a year ago.
Boxed beef prices closed higher: choice up $0.57 ($368.09) and select down $1.61 ($347.00) with a movement of 129 loads (84.09 loads of choice, 25.74 loads of select, 10.95 loads of trim and 7.97 loads of ground beef).
FRIDAY'S CATTLE CALL: Higher. Given that feedlot managers have waited this long to trade their pens, it's likely that they won't sell cattle for cheaper money as they sit current enough with their showlists to simply be able to roll them over if prices are what they desire.
FEEDER CATTLE:
The feeder cattle complex also closed lower as traders were sheepish to push the market any higher following the big gains seen earlier in the week. But today's move wasn't a choice made because of poor demand in the countryside, but rather because of skepticism from the futures complex as traders worry about over-extending the market. August feeders closed $2.62 lower at $328.90, September feeders closed $2.25 lower at $329.65 and October feeders closed $2.30 lower at $328.35. At Mitchell Livestock Auction in Mitchell, South Dakota, compared to their last sale two weeks ago, feeder steers traded $5.00 to $10.00 higher, with instances of $18.00 higher on the 950-pound steers. The best test on heifers was on those weighing 950 pounds to 1,000 pounds, which traded $10.00 higher. Feeder cattle supply over 600 pounds was 99%. The CME feeder cattle index 7/23/2025: down $1.26, $326.18.
LEAN HOGS:
The lean hog complex chopped merely sideways throughout the day as traders want to advance the contracts but didn't quite see enough fundamental support to justify doing so. August lean hogs closed $0.27 lower at $108.20, October lean hogs closed $0.20 higher at $91.10 and December lean hogs closed $0.35 higher at $82.92. It was impressive that pork cutout values closed higher at all, with the rib alone being down over $6.00.
Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $1.36 with a weighted average price of $113.61 on 4,482 head. Pork cutouts totaled 297.54 loads with 266.83 loads of pork cuts and 30.71 loads of trim. Pork cutout values: up $0.30, $117.54. Thursday's slaughter is estimated at 475,000 head, 2,000 head more than a week ago and 5,000 head less than a year ago. The CME lean hog index 7/22/2025: up $0.64, $109.23.
FRIDAY'S HOG CALL: Lower. Packers have likely fulfilled the vast majority of their needs for the week.
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