GENERAL COMMENTS:
Without enough fundamental support having developed, the livestock complex is trading lower into midday Wednesday. There's a single bid currently being offered in Kansas, but still no cash cattle trade has developed. March corn is up 2 1/2 cents per bushel and March soybean meal is up $5.80. The Dow Jones Industrial Average is down 95.17 points and the NASDAQ is up 161.12 points.
LIVE CATTLE:
Traders are continuing to let the live cattle contracts trade in a slightly lower manner as the market needs to see more immediate fundamental support before traders will feel confident trading the contracts any higher. February live cattle are down $1.67 at $234.90, April live cattle are down $1.82 at $235.55 and June live cattle are down $1.77 at $230.30. But even with the market's slight regression, the live cattle contracts are still currently trading above the market's 100-day moving average. A single bid of $232 is currently on the table in Kansas, but no trade has developed yet. Asking prices are firm in the South at $235 to $237, but are still not established in the North.
Boxed beef prices are mixed: choice up $1.22 ($352.47) and select down $0.31 ($350.77) with a movement of 87 loads (63.12 loads of choice, 6.90 loads of select, 4.01 loads of trim and 13.04 loads of ground beef).
FEEDER CATTLE:
The feeder cattle complex is also trading lower, seeming to simply follow the direction of the live cattle complex. January feeders are down $2.05 at $360.12, March feeders are down $3.02 at $356.00 and April feeders are down $3.02 at $355.10. Today's lower action is a technical decision, not a good representation of what's transpiring in the countryside, as feeder cattle prices are on fire both on Monday and Tuesday.
LEAN HOGS:
Although midday pork cutout values are a tick higher, the lean hog complex is still trading lower as traders yearn to see more fundamental support. The market is running into some resistance pressure that is binding its upward momentum, and until something substantial develops fundamentally, the market could be pressured to trade sideways, if not somewhat lower. February lean hogs are down $0.75 at $84.92, April lean hogs are down $1.10 at $90.50 and June lean hogs are down $0.55 at $103.72.
The projected lean hog index for 1/6/2026 is down $0.29 at $81.25, and the actual index for 1/5/2026 is down $0.08 at $81.54. Hog prices again aren't available on the Daily Direct Morning Hog Report because of confidentiality. However, we can see that only 423 head have traded. Pork cutouts totaled 167.85 loads with 147.69 loads of pork cuts and 20.16 loads of trim. Pork cutout values: up $1.48, $92.73.
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