GENERAL COMMENTS:
The livestock complex ended the day mixed, with the cattle contracts sharply higher, but the lean hog contracts lower again as consumer demand isn't shaping up as traders hoped it would. Bids of $219 to $220 were offered throughout the day in Kansas, but no sales were noted. October lean hogs are down $0.33 at $83.45, December corn is down 2 3/4 cents per bushel and December soybean meal is up $5.90. The Dow Jones Industrial Average is up 624.16 points and the NASDAQ is up 366.23 points.
LIVE CATTLE:
It was a rather impressive and unexpected day for the live cattle complex, as the contracts were granted ample technical support from traders, which allowed the contracts to end the day $2.00 to $4.00 higher. And it wasn't because of a surplus of fundamental support, but rather as a helpful push from traders who were willing to help the contracts mildly correct after having been pressured immensely over the last two months. October live cattle closed $4.12 higher at $214.30, December live cattle closed $4.10 higher at $216.12 and February live cattle closed $3.72 higher at $217.72. Throughout the day, bids of $219 to eventually $220 were offered in the South, but no new sales were noted. With feedlot managers seeing the board's rally today, they're hopeful to keep prices as close to steady as possible. There was some trade noted earlier in the week at $219 live ($3.00 lower than last week's weighted average) in the South and $344 to $345 in the North (steady to $1.00 lower than last week's weighted average).
Thursday's slaughter is estimated at 105,000 head -- steady with a week ago and 16,000 head less than a year ago.
Boxed beef prices closed lower: choice down $1.88 ($376.90) and select down $2.86 ($350.72) with a movement of 117 loads (87.24 loads of choice, 13.93 loads of select, zero loads of trim and 15.99 loads of ground beef).
FRIDAY'S CATTLE CALL: Steady to $1.00 lower. Given the market's current trend, it is likely that prices will keep with what's already been seen this week.
FEEDER CATTLE:
Upon traders seeing a bullish effort being pushed in the live cattle complex, they were more than willing to give the green light to the feeder cattle contracts to trade higher as well, and given that the contracts closed mostly $6.00 higher, today's rally was no small feat. September feeders closed $6.87 higher at $325.85, October feeders closed $6.72 higher at $321.10 and November feeders closed $6.95 higher at $315.30. At the Winter Livestock Auction in Pratt, Kansas, compared to last week, feeder steers weighing 600 to 900 pounds traded $4.00 to $12.00 lower; however, steers weighing 725 to 750 pounds sold close to steady. Steers under 600 pounds traded $6.00 to $10.00 higher. Not enough heifers under 425 pounds to 925 pounds traded for an accurate market test, but a lower trend was noted. Demand was called moderate, but for steers under 600 pounds, demand was strong. Slaughter cows and bulls sold steady to $3.00 lower. Feeder cattle supply over 600 pounds was 54%. The CME feeder cattle index 9/2/2026: down $0.91.
LEAN HOGS:
Without stronger consumer support, again today the lean hog complex closed lower. October lean hogs closed $0.32 lower at $83.45, December lean hogs closed $0.40 lower at $73.92 and February lean hogs closed $0.27 lower at $76.60. And until there's enough fundamental support available in the market, it's unlikely that traders will challenge the current resistance. Hog prices closed lower on the Daily Direct Afternoon Hog Report, down $1.49 with a weighted average price of $88.03 on 3,185 head. Pork cutouts totaled 189.72 loads, with 174.45 loads of pork cuts and 15.28 loads of trim. Pork cutout values: down $4.50, $91.12. Thursday's slaughter is estimated at 467,000 head -- 19,000 head less than a week ago and 20,000 head less than a year ago. The CME lean hog index 9/1/2026: up $0.27, $90.85.
FRIDAY'S HOG CALL: Lower. With pork cutout values lower, it's likely that cash prices will be lower on Friday too.
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