GENERAL COMMENTS:
Although some of the live cattle contracts were pressured to trade lower earlier Tuesday, by the afternoon's close most of the live cattle contracts closed higher, along with the feeder cattle and lean hog contracts too. Still no cash cattle trade has developed. March corn is up 1/4 cent per bushel and May soybean meal is up $1.90. The Dow Jones Industrial Average is up 378.64 points and NASDAQ is up 243.33 points.
LIVE CATTLE:
The live cattle complex had a change of tune throughout Tuesday as initially the nearby contracts were concerned with the idea of trading higher as that may be biting off too much risk. However, as the day moved onward, traders grew more confident and eventually allowed the nearby live cattle contracts to join the deferred contracts in an upward trend. Aside from the spot April contract, the rest of the live cattle complex was able to close higher Tuesday afternoon as traders were pleased to note the uptick in boxed beef prices. April live cattle closed $0.15 lower at $239.10, June live cattle closed $0.10 higher at $235.55 and August live cattle closed $0.17 higher at $233.52. Still no trade has developed in the fed cash cattle market and no bids or asking prices have surfaced either. It's most likely trade will be delayed until Thursday or Friday.
Tuesday's slaughter is estimated at 111,000 head -- 4,000 head less than a week ago and 11,000 head less than a year ago.
Boxed beef prices closed higher: choice up $8.21 ($377.43) and select up $1.70 ($366.01) with a movement of 102 loads (71.17 loads of choice, 10.13 loads of select, 5.18 loads of trim and 15.80 loads of ground beef).
WEDNESDAY'S CATTLE CALL: Higher. Even though packers were able to get a sizeable volume bought and committed to the nearby delivery option last week, they'll still need to remain engaged and active in the market to ensure they've got enough inventory for the weeks ahead.
FEEDER CATTLE:
The feeder cattle complex was able to round out the day higher as the live cattle contracts changed their direction and closed mostly higher too. Traders simply felt the market was in a safe enough position to justify a slightly higher end to the day regardless of what the live cattle contracts did. March feeders closed $0.80 higher at $365.10, April feeders closed $0.85 higher at $362.20 and May feeders closed $0.50 higher at $358.47. At Oklahoma National Stockyards in Oklahoma City, Oklahoma, compared to last week feeder steers and heifers traded steady to $3.00 lower, and those weighing 600 to 700 pounds traded $10.00 to $15.00 higher. Steer calves traded steady to $5.00 higher and heifer calves sold up to $25.00 higher. Feeder cattle supply over 600 pounds was 70%. The CME Feeder Cattle Index 2/23/2026: down $0.39, $375.41.
LEAN HOGS:
Without fear of running into immediate resistance pressure, the lean hog complex continues to rally day after day. This push seems to be a technical rally as, although cash prices have been higher, pork cutout values have been a tick softer. April lean hogs closed $2.10 higher at $95.80, June lean hogs closed $1.70 higher at $110.02 and July lean hogs closed $1.42 higher at $111.77. The biggest deterrent in this afternoon's cutout report was the $2.64 decline in the picnic, and the $2.49 decline in the ham -- both of which pulled the carcass price lower. Hog prices closed higher on the Daily Direct Afternoon Hog Report, up $2.32 with a weighted average price of $91.28 on 5,601 head. Pork cutouts total 337.86 loads with 292.56 loads of pork cuts and 45.30 loads of trim. Pork cutout values: down $0.45, $96.95. Tuesday's slaughter is estimated at 489,000 head -- 6,000 head more than a week ago and 5,000 head more than a year ago. The CME Lean Hog Index for 2/20/2026: up $0.22, $88.17.
WEDNESDAY'S HOG CALL: Steady/somewhat lower. Given that packers have bought fairly aggressively early this week, there's a chance they're still short bought and could need more hogs, or are mostly done buying for the week.NES
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