GENERAL COMMENTS:
The livestock complex ended the day mostly lower as the cattle contracts feared what the afternoon's Cattle on Feed report may showcase, and the hog contracts simply can't find the support they need to add stability to the market. No new cash cattle trade developed throughout the day. July corn is up 1 cent per bushel and July soybean meal is up $3.50. The Dow Jones Industrial Average is up 332.00 points and the NASDAQ is up 42.79 points.
From Friday to Friday, the livestock futures scored the following changes: June live cattle down $4.60, August live cattle down $8.33; August feeder cattle down $11.60, September feeder cattle down $12.28; June lean hogs down $3.00, July lean hogs down $2.95; July corn up $0.08 and September corn up $0.07.
**The markets are closed on Monday, May 25, for Memorial Day. Regular DTN market commentary will resume on Tuesday, May 26.**
LIVE CATTLE:
The live cattle complex ended the day mostly lower, although a couple of the nearby live cattle contracts were able to end the day slightly higher. June live cattle closed $0.15 higher at $249.30, August live cattle closed $0.25 higher at $239.60 and October live cattle closed $0.22 lower at $230.72. From a technical standpoint, it wasn't good to see the spot August contract end the day below its 40-day moving average. However, with plenty of fear laced throughout the complex ahead of Friday's Cattle on Feed report, it's easy to see why the market was on edge throughout the day.
Friday's slaughter is estimated at 99,000 head -- 1,000 head less than a week and a year ago. Saturday's slaughter is projected to be around 2,000 head. The week's total slaughter is estimated at 528,000 head -- 7,000 head less than a week ago and 48,000 head less than a year ago.
Throughout the week, Southern live cattle traded at $260, which is steady with last week's weighted average and Northern dressed cattle traded at $410 to $412, which is $1.00 lower to $1.00 higher than last week's weighted average.
Boxed beef prices closed lower: choice down $1.21 ($390.27) and select down $0.65 ($385.00) with a movement of 75 loads (56.30 loads of choice, 5.40 loads of select, 6.22 loads of trim and 6.87 loads of ground beef).
TUESDAY'S CATTLE CALL: Steady. Depending on exactly how many cattle traded this week, packers may not have to be overly aggressive in next week's market, given that in the last two weeks, they've been extremely aggressive to ensure they have enough supply during peak demand season.
FEEDER CATTLE:
It was a painstaking day for the feeder cattle complex as the market anxiously awaited the unveiling of today's Cattle on Feed report. The industry knew that placements were likely going to be higher than a year ago because of the lingering drought issues, but waiting for that report to be unveiled cost the market exponentially. August feeders closed $6.67 lower at $349.85, September feeders closed $6.47 lower at $346.90 and October feeders closed $6.00 lower at $343.62. DTN's Cattle on Feed comments:
The Oklahoma Weekly Cattle Auction summary shared that, compared to last week, feeder steers traded unevenly steady, but feeder heifers sold steady to $5.00 lower. Steer calves over 500 pounds sold unevenly steady, but under 500 pounds traded $12.00 to $17.00 lower. Heifer calves over 500 pounds sold unevenly steady, but under 500 pounds traded $7.00 to $14.00 lower. Slaughter cows sold steady to $3.00 higher and slaughter bulls sold $6.00 higher. Feeder cattle supply over 600 pounds was 76%. The CME feeder cattle index 5/21/2026: not available at this time.
LEAN HOGS:
It was a lackadaisical day for the lean hog complex as the market mostly kept with its lower trend for the week. Yes, closing pork cutout values may have been able to close a tick higher, but for traders, the support came too late in the week to make a meaningful impact. July lean hogs closed $0.37 higher at $100.40, August lean hogs closed $0.15 lower at $100.07 and October lean hogs closed $0.27 lower at $87.12. Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $0.35 with a weighted average price of $93.23 on 1,452 head. Pork cutouts totaled 326.17 loads with 295.37 loads of pork cuts and 30.80 loads of trim. Pork cutout values: up $0.62, $96.26. Friday's slaughter is estimated at 409,000 head -- 29,000 head less than a week ago and 14,000 head less than a year ago. Saturday's slaughter is projected to be around 7,000 head. The CME lean hog index 5/20/2026: up $0.07, $91.07.
TUESDAY'S HOG CALL: Steady. Given that packers weren't aggressive in the market this week, they may have to show better interest in next week's market.
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