GENERAL COMMENTS:
The livestock complex is trading higher into Wednesday's noon hour as traders continue to support the complex aggressively. Still no cash cattle trade has developed, and trade will likely be delayed until Thursday or Friday. July corn is up 2 1/2 cents per bushel and July soybean meal is down $1.10. The Dow Jones Industrial Average is up 50.92 points and the NASDAQ is up 123.01 points.
LIVE CATTLE:
While the feeder cattle complex has been the unwavering driving force behind this week's rally, it's interesting to note this morning that the biggest daily gains are currently being seen in the furthest deferred 2026 live cattle contracts. August live cattle are down $0.25 at $219.72, October live cattle are up $0.35 at $217.15 and December live cattle are up $0.42 at $217.05. But as mentioned, the June 2026 to December 2026 live cattle contracts are all trading more than $1.00 higher into Wednesday's noon hour. Still no cash cattle trade has developed, but asking prices are noted in the South at $228 to $230 and remain unestablished in the North. With the slight dip in morning boxed beef prices, the fed cash cattle market will likely wait to trade until Thursday or Friday, as packers will want to see if this weaker trend continues.
Boxed beef prices are lower: choice down $3.55 ($389.49) and select down $3.52 ($374.94) with a movement of 70 loads (50.74 loads of choice, 9.90 loads of select, zero loads of trim and 8.97 loads of ground beef).
FEEDER CATTLE:
It's truly incredible to see the feeder cattle complex continuing to charge higher and higher, even though just yesterday the market scored new contract highs. But with ample support from the market's fundamentals, the contracts have seemed to gain another gust of momentum. August feeders are up $0.85 at $319.97, September feeders are up $0.45 at $319.62 and October feeders are up $0.45 at $317.70. At the day's initial start, both the live cattle and feeder cattle contracts were trading lower, but the feeder cattle complex continues to aim higher, and traders eventually came around to support the contracts again this morning without too much pushback.
LEAN HOGS:
With the slight bump in pork demand, the lean hog complex seems to be finding some stability in the futures complex as well. July lean hogs are up $0.20 at $107.17, August lean hogs are up $0.50 at $107.25 and October lean hogs are up $0.77 at $93.75. The morning's uptick in terms of pork cutout values is slightly skewed as the $7.20 jump in the belly helped drive the carcass price higher, but the rest of the cuts saw more moderate changes.
The projected lean hog index for 7/8/2025 is down $0.29 at $107.04, and the actual index for 7/7/2025 is down $1.00 at $107.33. Hog prices on the Daily Direct Morning Hog Report average $111.81, ranging from $101.00 to $114.00 on 5,368 head and a five-day rolling average of $111.12. Pork cutouts total 140.28 loads, with 117.33 loads of pork cuts and 22.96 loads of trim. Pork cutout values: up $1.38, $113.39.
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