GENERAL COMMENTS:
It ended up being a positive day for the livestock complex as all three of the markets closed higher. New showlists appear to be mixed, higher in Kansas and Nebraska/Colorado, but lower in Texas. September corn is up 2 1/4 cents per bushel and August soybean meal is up $4.30. The Dow Jones Industrial Average is down 200.52 points and the NASDAQ is down 64.62 points.
LIVE CATTLE:
It ended up being a positive day for the live cattle complex as traders slightly advanced the contracts ahead of the day's close, but a cautious nature continues to remain as the cattle market's underlying theme. August live cattle closed $0.52 higher at $233.07, October live cattle closed $0.12 higher at $226.10 and December live cattle closed $0.55 higher at $228.47. Thankfully, beef demand remains strong, which could help bull-spreaders cause in wanting the contracts to recover their lost position. New showlists appear to be mixed, higher in Kansas and Nebraska/Colorado, but lower in Texas. Monday's slaughter is estimated at 103,000 head, 2,000 head more than a week ago and 7,000 head less than a year ago.
Last week Southern live cattle traded at $235, which is mostly steady to $0.50 lower than the previous week's weighted average, and Northern dressed cattle traded at mostly $380, which is $4.00 lower than the previous week's weighted average. Last week's negotiated cash cattle trade totaled 55,791 head. Of that 69% (38,568 head) were committed to the market's nearby delivery option, while the remaining 31% (17,223 head) were committed to the market's deferred option.
Boxed beef prices closed higher: choice up $2.68 ($381.52) and select up $4.52 ($359.61) with a movement of 85 loads (39.71 loads of choice, 12.98 loads of select, 18.85 loads of trim and 13.84 loads of ground beef).
TUESDAY'S CATTLE CALL: Steady. Packers were able to get more supply committed to them last week, which could keep prices from advancing this week.
FEEDER CATTLE:
Traders weren't overly confident about what to do with the feeder cattle complex following Friday's sharp selloff. If there's one absolute takeaway from today's trade, it's that the countryside doesn't care what happened on Friday to the futures complex -- feeder cattle are still trading higher in sale barns across the nation. Just look at what Joplin Regional Stockyards was able to accomplish this week, or look at what the CME feeder cattle index closed at. As the core fact remains, supplies are tight and that's not going to change anytime soon. August feeders closed $0.82 higher at $240.22, September feeders closed $0.22 higher at $340.60 and October feeders closed $0.45 higher at $339.67. At Joplin Regional Stockyard in Carthage, Missouri, compared to last week, feeder steers under 675 pounds sold $3.00 to $18.00 higher, with heavier weights trading $2.00 to $7.00 stronger. Feeder heifers under 675 pounds sold steady to $6.00 higher. Heavier weights sold $8.00 to $20.00 higher. Feeder cattle supply over 600 pounds was 77%. The CME feeder cattle index 8/8/2025: up $3.83, $341.04.
LEAN HOGS:
The lean hog complex was also able to rally throughout the day as traders were pleased with the continued support of consumers, which was a major factor in their ability to push the contracts higher. October lean hogs closed $1.10 higher at $91.77, December lean hogs closed $0.45 higher at $84.22 and February lean hogs closed $0.05 higher at $86.90. The biggest contributing factor as to why pork cutout values were able to close higher was because the belly jumped $8.52 higher. Hog prices closed higher on the Daily Direct Afternoon Hog Report, up $1.52 with a weighted average price of $108.25 on 1,508 head and a five-day rolling average of $112.52. Pork cutouts totaled 318.54 loads with 284.88 loads of pork cuts and 33.65 loads of trim. Pork cutout values: up $1.69, $119.09. Monday's slaughter is estimated at 482,000 head – 57,000 head more than a week ago and 2,000 head less than a year ago. The CME lean hog index 8/7/2025: up $0.15, $110.25.
TUESDAY'S HOG CALL: Higher. Given that demand remains strong, packers will likely be even more aggressive in Tuesday's market.
No comments:
Post a Comment