GENERAL COMMENTS:
All in all, it was a successful day for the livestock complex, as all three of the markets closed higher, and Friday's Dec. 1 USDA Cattle on Feed report was bullish, too. At the time of this writing, only a handful of cattle had traded in the South at $228 in Kansas, which is $2 lower than the previous week's weighted average. March corn is down 3/4 cent per bushel, and January soybean meal is down $0.80. The Dow Jones Industrial Average is up 183.04 points, and the NASDAQ is up 301.26 points.
From Friday to Friday, livestock futures scored the following changes: December live cattle up $0.60, February live cattle up $1.25; January feeder cattle up $6.50, March feeder cattle up $5.33; February lean hogs down $0.03, April lean hogs down $0.40; March corn up $0.03, May corn up $0.02.
LIVE CATTLE:
The live cattle complex had another successful day, closing fully higher but still not willing to rival the market's resistance at its 100-day moving average. December live cattle closed $1.97 higher at $230.40, February live cattle closed $2.40 higher at $230.80, and April live cattle closed $1.85 higher at $230. Throughout the day, there were bids offered on the table in both regions, but only a handful of cattle traded in Kansas at $228, which is $2 lower than the previous week's weighted average. On Thursday, some light cash cattle trade was noted in Nebraska at $358, which is $4 higher than last week's weighted average. There's a chance that some light trade could still develop later Friday afternoon, as packers could have been waiting until after the Cattle on Feed report was shared to bid. But at the same time, there's a chance that packers don't need many more cattle this week, as they did buy a large volume last week at 103,000 head.
Friday's slaughter is estimated at 108,000 head -- 3,000 head more than a week ago and 9,000 head less than a year ago. Saturday's slaughter is projected to be around 7,000 head. The week's total slaughter is estimated at 587,000 head -- 9,000 head less than a week ago and 28,000 head less than a year ago.
Boxed beef prices closed higher: choice up $4.35 ($361.63) and select up $2.05 ($346.02) with a movement of 98 loads (61.26 loads of choice, 10.74 loads of select, 14.14 loads of trim and 12 loads of ground beef).
MONDAY'S CATTLE CALL: Lower. With next week being a holiday-shortened week, it's unlikely that packers will bid aggressively in the market.
FEEDER CATTLE:
The feeder cattle complex was both active and aggressive throughout the day, as traders rallied the contracts anywhere from $4 to $5 higher through the day's close. January feeder cattle closed $5.32 higher at $345.60, March feeders closed $4.80 higher at $339.40 and April feeders closed $4.42 higher at $337.60. The monthly Cattle on Feed report was also a bullish factor for the market on Friday, as placements were 11% lower than a year ago. The CME feeder cattle index 12/18/2025: up $0.26, $350.05.
LEAN HOGS:
The lean hog complex also successfully rounded out the day higher, as traders no longer felt as though they were up against immediate resistance pressure. February lean hogs closed $0.37 higher at $84.50, April lean hogs closed $0.17 higher at $89.12, and June lean hogs closed $0.10 higher at $101.70. It's most likely that traders won't pressure the market's resistance at $90 until after the holiday season, or unless some the market's fundamentals improve greatly. Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $1.20 with a weighted average price of $67.45. Pork cutouts totaled 328.09 loads with 283.44 loads of pork cuts and 44.65 loads of trim. Pork cutout values: up $2.33, $99.76. Friday's slaughter is estimated at 481,000 head -- 9,000 head more than a week ago and 3,000 head less than a year ago. Saturday's slaughter is projected to be around 257,000 head. The CME lean hog index 12/17/2025: up $0.01, $83.88.
MONDAY'S HOG CALL: Lower. Given that next week is a holiday-shortened week, it's most likely that packers won't be very active in the cash hog market.
No comments:
Post a Comment