GENERAL COMMENTS:
The livestock complex continues to chop sideways as traders are desperate for greater fundamental support but aren't seeing it surface in the market consistently. Some bids are on the table currently in the cash market and packer interest will likely improve as the day trades on. December corn is up 5 3/4 cents per bushel and December soybean meal is up $0.40. The Dow Jones Industrial Average is down 420.28 points and NASDAQ is down 194.36 points.
Thursday's export report shared that beef net sales of 9,300 mt for 2026 were down 36% from the previous week and 37% from the prior 4-week average. The three largest buyers were Mexico (1,600 mt), South Korea (1,400 mt) and Taiwan (1,400 mt). Pork net sales of 27,300 mt for 2026 were down 25% from the previous week and 15% from the prior 4-week average. The three largest buyers were Mexico (10,700 mt), South Korea (3,500 mt) and Japan (2,900 mt).
LIVE CATTLE:
Despite fed cash cattle prices that are thus far trading lower this week and midday boxed beef prices that are lower too, traders are mildly supporting the live cattle contracts into Thursday's noon hour. More than anything this seems to be a sideways chop following Wednesday's weaker close. August live cattle are up $0.97 at $224.40, October live cattle are up $1.60 at $218.82 and December live cattle are up $2.07 at $219.22. Bids are starting to surface again in the fed cash cattle market as currently packers are offering $355 to $356 dressed and $225 live in Nebraska, and $225 live in Kansas. Some moderate trade developed Wednesday at $355 to $356 in Iowa and Nebraska but otherwise the cash market has yet to trade any cattle in the South.
Boxed beef prices are lower: choice down $2.85 ($392.14) and select down $0.61 ($363.56) with a movement of 51 loads (35.93 loads of choice, 11.05 loads of select, zero loads of trim and 3.69 loads of ground beef).
FEEDER CATTLE:
The feeder cattle complex is also higher as traders continue to work both the live cattle and feeder cattle contracts in the same direction. August feeders are up $0.25 at $337.10, September feeders are up $0.80 at $329.92 and October feeders are up $1.55 at $323.60. Even with the board's slight improvement, it's unlikely buyers will be much more aggressive in the countryside as there are a lot of unweaned calves working their way into the market and they come with high risk.
LEAN HOGS:
The sideways chop is continuing in the lean hog complex as traders frankly aren't confident with what to do with this market. Fundamental support is too wishy washy to count on, so at this point the back and forth of higher one day and lower the next is likely to continue in the hog sector. October lean hogs are down $1.12 at $80.37, December lean hogs are down $0.50 at $70.92 and February lean hogs are down $0.17 at $74.07. The projected CME Lean Hog Index for 8/19/2026 is down $0.24 at $93.72 and the actual index for 8/18/2026 is down $0.82 at $93.96. Hog prices are higher on the Daily Direct Morning Hog Report, up $0.51 with a weighted average price of $92.75, ranging from $91.00 to $96.50 on 1,036 head and a five-day rolling average of $92.90. Pork cutouts total 137.22 loads with 123.97 loads of pork cuts and 13.24 loads of trim. Pork cutout values: up $0.38, $97.96.
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