GENERAL COMMENTS:
It was really a mixed day for the cattle complex as traders let the cattle contracts fall lower ahead of the day's end, even though the cash cattle market showed promise of higher trade, but the lean hog complex did close higher. Throughout the afternoon, Southern live cattle traded at $242, which is $2.00 higher and Northern dressed cattle traded at $385, which is $1.00 lower. December corn is up 4 cents per bushel and December soybean meal is down $0.90. The Dow Jones Industrial Average is up 71.67 points and the NASDAQ is up 115.02 points.
Thursday's export report shared that beef net sales of 13,600 mt for 2025 2343 up 34% from the previous week and 40% from the prior 4-week average. The three largest buyers were Japan (7,700 mt), South Korea (1,500 mt) and Hong Kong (1,200 mt). Pork net sales of 42,400 mt for 2025 were up noticeably from the previous week and up 53% from the prior 4-week average. The three largest buyers were Mexico (26,700 mt), Colombia (3,400 mt) and Japan (2,500 mt).
LIVE CATTLE:
The live cattle contracts weren't able to end the day on a stronger note as traders were leery about their position throughout the entire day, and even though the fed cash cattle market lent some support with noting stronger sales, traders seemed numb to that positive development. October live cattle closed $2.60 lower at $236.92, December live cattle closed $2.30 lower at $238.60 and February live cattle closed $1.87 lower at $239.95. Early this afternoon, a light trade was reported in the South at $242, which is $2.00 higher than last week's weighted average. And just here moments ago, some dressed trade was noted in Nebraska at $385, which is $1.00 lower than last week's weighted average. Asking prices for the cattle left to sell remain firm at $390 in the North and $245 in the South. More cattle will need to trade ahead of the week's end, as the week's movement has been relatively thin still.
Thursday's slaughter is estimated at 118,000 head, 2,000 head more than a week ago and 6,000 head less than a year ago.
Boxed beef prices closed mixed: choice up $2.57 ($414.41) and select down $1.87 ($385.84) with a movement of 99 loads (64.15 loads of choice, 13.18 loads of select, 10.56 loads of trim and 10.81 loads of ground beef).
FRIDAY'S CATTLE CALL: Steady to somewhat higher. Depending on how willing feedlot managers are to battle packers again this week, prices could either hold steady with the light trend that we've seen already this week, or there's a chance that prices could trade a bit higher.
FEEDER CATTLE:
It was slightly disappointing to see the feeder cattle complex end the day weaker, as traders were stronger early in the day and pushed the contracts higher even though the live cattle contracts were trading lower. By the day's end, even the feeder cattle contracts closed weaker. September feeders closed $3.60 lower at $361.80, October feeders closed $2.67 lower at $361.52 and November feeders closed $2.50 lower at $360.02. Once again, today's weaker close is solely a decision based upon the market's technical indicators, as demand in the countryside remains robust – if you aren't sold on that factor yet, just look at today's close on the CME feeder cattle index.
At the Clovis Livestock Auction in Clovis, New Mexico, compared to last week, steer calves weighing 300 to 450 pounds traded $5.00 to $15.00 higher, and those weighing 450 to 600 pounds sold $7.00 to $13.00 lower. Feeder steers weighing 600 to 850 pounds sold $10.00 lower, while those weighing 850 to 900 pounds sold $16.00 higher. Heifer calves sold $5.00 to $16.00 lower, but a few did trade $10.00 higher. Feeder heifers weighing 600 to 700 pounds were $15.00 lower. Feeder cattle supply over 600 pounds was 40%. The CME feeder cattle index 8/27/2025: up $4.55, $365.23.
LEAN HOGS:
The cattle contracts may have ended the day weaker, but the rally in the lean hog complex remained strong throughout the day's entirety. October lean hogs closed $0.37 higher at $94.27, December lean hogs closed $0.47 higher at $86.97 and February lean hogs closed $0.67 at $89.30. Pork cutouts were disappointing again today as they closed slightly lower again, mainly because of the picnics $7.60 decline. Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $0.61 with a weighted average price of $108.19 on 4,776 head. Pork cutouts totaled 276.94 loads with 226.17 loads of pork cuts and 50.77 loads of trim. Pork cutout values: down $0.17, $111.49. Thursday's slaughter is estimated at 487,000 head, 19,000 head more than a week ago and 1,000 head more than a year ago. The CME lean hog index 8/26/2025: down $0.23, $106.63.
FRIDAY'S HOG CALL: Lower. It's likely that packers are largely done buying this week in the cash hog market and won't show much interest on Friday.
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