GENERAL COMMENTS:
It was a lackluster day for the livestock complex as the market continues to yearn for increased fundamental support but simply isn't receiving as much as it needs. No cash cattle trade developed throughout the day. May corn is up 4 3/4 cents per bushel and May soybean meal is down $2.60.
The Dow Jones Industrial Average is up 305.43 points and NASDAQ is up 167.94 points.
LIVE CATTLE:
The live cattle complex wasn't thrown a supportive fundamental bone throughout the day which is why the contracts' safest bet was to close slightly lower. The real headline of the day for the live cattle complex was the break in boxed beef prices as choice cuts ended the day $3.80 lower than select cuts. This is due to two main reasons: retailers are pushing back on these high beef prices and the market is drastically short supplied of thin, grinding type products and has a surplus of choice cuts. April live cattle closed $0.95 lower at $234.42, June live cattle closed $0.75 lower at $233.85 and August live cattle closed $0.50 lower at $231.60. No cash cattle trade developed throughout the day but asking prices are noted at $238 to $240 in Texas.
Wednesday's slaughter is estimated at 103,000 head -- 2,000 head less than a week ago and 18,000 head less than a year ago.
Boxed beef prices closed mixed: choice down $8.22 ($391.69) and select up $0.99 ($395.49) with a movement of 123 loads (97.10 loads of choice, 8.29 loads of select, 6.43 loads of trim and 11.15 loads of ground beef).
THURSDAY'S CATTLE CALL: Lower. With the weaker trend in boxed beef prices, cash prices will likely hold steady at best but could trade lower.
FEEDER CATTLE:
Once again to no one's surprise, the feeder cattle complex followed the live cattle market and ended the day lower. Wednesday's weaker move stems from the fact that the spot May contract was nearing its 40-day moving average and simply didn't see enough immediate support in the market to justify a higher end for the day. April feeder cattle closed $1.10 lower at $353.35, May feeder cattle closed $0.65 lower at $350.05 and August feeder cattle closed $1.00 lower at $349.22. At Producers Livestock Auction in Salina, Utah, compared to last week feeder cattle sold unevenly steady. But slaughter cows traded $3.00 to $9.00 higher and slaughter bulls traded $3.00 to $4.00 higher. Feeder cattle supply over 600 pounds was 43%. The CME Feeder Cattle Index for 3/24/2026: down $0.19, $361.78.
LEAN HOGS:
The lean hog complex stumbled into some mild technical support as the market saw most of its nearby contracts close higher Wednesday afternoon. April lean hogs closed $0.15 lower at $90.90, June lean hogs closed $0.07 higher at $104.12 and July lean hogs closed $0.17 higher at $106.17. Traders may have felt enough immediate downward pressure has been seen in the short term and even though the market's fundamentals aren't all that supportive, establishing a bottom for this move may be justified. Do remember that Thursday the Quarterly Hogs and Pigs Report will be released. Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $0.97 with a weighted average price of $91.65 on 3,349 head. Pork cutouts totaled 396.90 loads with 337.63 loads of pork cuts and 59.27 loads of trim. Pork cutout values: down $0.57, $96.40. Wednesday's slaughter is estimated at 497,000 head -- 1,000 head less than a week ago and 12,000 head more than a year ago. The CME Lean Hog Index 3/25/2026: down $0.07, $91.71.
THURSDAY'S HOG CALL: Lower. At this point it's likely packers have secured the vast majority of their needs in the cash market.
No comments:
Post a Comment